FDI rises 18 pc to USD 47.87 bn in April-Dec FY26; inflow from US doubles

New Delhi, Feb 27 (PTI) Foreign direct investment (FDI) in India rose 18 per cent to USD 47.87 billion during April-December 2025-26, while the inflow from the US almost doubled to USD 7.80 billion during the first nine months of this fiscal, according to government data released on Friday.

Foreign Direct Investment during April-December FY24 stood at USD 40.67 billion.

During the October-December quarter of 2025-26, the FDI inflow in equity increased by about 17 per cent year-on-year to USD 12.69 billion. However, it dipped by over 23 per cent when compared to the June-September quarter of 2025-26, when the inflows stood at USD 16.55 billion.

Total FDI, which includes equity inflows, reinvested earnings and other capital, increased by 17.4 per cent to USD 73.31 billion during the first nine months of this fiscal year as against USD 62.48 billion in the same period of 2024-25.

Inflows from the US rose to USD 7.8 billion during the latest nine-month period from USD 3.73 billion recorded in April-December 2024-25.

Singapore was the largest source of FDI during the period, contributing USD 17.65 billion. It was followed by the US, Mauritius (USD 4.83 billion), Japan (USD 3.2 billion), the UAE (USD 2.45 billion), the Netherlands (USD 2.29 billion), the Cayman Islands (USD 1.97 million), and Cyprus (USD 1.4 billion).

The US is the third-biggest investor in India with investments of USD 78.46 billion between April 2000 and December 2025.

The top investment source is Singapore (USD 192.53 billion), followed by Mauritius (USD 185 billion) in the same period.

Sector-wise, inflows during April-December this fiscal in computer software and hardware rose to USD 10.7 billion, which was followed by the inflow in services at USD 8.42 billion, and trading at USD 3.36 billion. While the inflow in the non-conventional energy sector stood at USD 2.53 billion, the automobile sector received USD 1.82 billion, construction (infra) activities USD 2.1 billion, and chemicals USD 702 million during the period.

Among states, the data showed, Maharashtra received the highest inflow of USD 15.38 billion during the period.

It was followed by Karnataka (USD 11.2 billion), Gujarat (USD 5 billion), Tamil Nadu (USD 3.89 billion), Haryana (USD 3.84 billion), Delhi (USD 3.52 billion), and Telangana (USD 1.7 billion).

The government has put in place an investor-friendly FDI policy, under which most sectors are open for 100 per cent overseas inflows through the automatic route.

The government has undertaken reforms across multiple sectors to liberalise FDI norms. Between 2014 and 2019, significant reforms included increased FDI caps in defence, insurance, and pension sectors, and liberalised policies for construction, civil aviation, and single-brand retail trading.

From 2019 to 2024, notable measures included allowing 100 per cent FDI under the automatic route in coal mining, contract manufacturing, and insurance intermediaries.

During the last financial year, FDI equity inflows were USD 50.01 billion, while the overall FDI stood at USD 80.6 billion. PTI RR HVA