India's FDI Inflows Expected to Exceed $90 Billion by FY26
FDI inflows likely to cross $90-bln mark in FY 26: DPIIT Secy
Business Standard
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India's foreign direct investment (FDI) inflows are projected to surpass $90 billion in the fiscal year 2025-26, driven by policy reforms and economic growth. Gross inflows reached $88.29 billion by February 2026, with expectations of hitting $100 billion by 2030, according to Amardeep Singh Bhatia, Secretary of the Department for Promotion of Industry and Internal Trade (DPIIT).
- 01FDI inflows in India are projected to exceed $90 billion in FY26.
- 02Gross FDI inflows reached $88.29 billion by February 2026, up from $80.61 billion in FY25.
- 03Net FDI inflows rose to $6.26 billion in FY26 compared to $959 million in FY25.
- 04States like Gujarat, Madhya Pradesh, and Andhra Pradesh are emerging as top investment destinations.
- 05Investments in sectors like chemicals, pharmaceuticals, and electronics are driving growth.
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India's foreign direct investment (FDI) inflows are expected to exceed $90 billion in the fiscal year 2025-26, according to Amardeep Singh Bhatia, Secretary of the Department for Promotion of Industry and Internal Trade (DPIIT). As of February 2026, gross FDI inflows reached $88.29 billion, surpassing the previous fiscal year's total of $80.61 billion. Net FDI inflows saw a significant increase to $6.26 billion, up from $959 million in FY25. Bhatia attributes this growth to favorable policy reforms, free trade agreements, and robust economic performance, which have doubled India's share in global FDI over the past decade. Looking ahead, Bhatia anticipates that annual FDI could reach $100 billion by 2030, supported by continued reforms and shifts in global supply chains. Notably, states such as Gujarat, Madhya Pradesh, and Andhra Pradesh have become attractive investment hubs due to proactive policies and infrastructure improvements. In FY 2025-26, $6.1 billion worth of investments were facilitated through the grounding of 60 projects across 14 states, potentially creating over 31,000 jobs. Approximately 42% of these investments originated from European nations, with sectors like chemicals, pharmaceuticals, and electronics leading the way.
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The anticipated increase in FDI inflows could lead to job creation and economic growth in various states, benefiting local economies.
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