Context
The Indian economy is grappling with a slowdown in foreign direct investment (FDI). In 2022-23, FDI equity inflows dropped by 22% year-on-year to USD 46 billion, following a 1% contraction from the previous year.
1: Dimension-Slowdown in FDI flows to developing countries
2: Dimension-Risks for global market
3: Dimension-Need of FDI in Indian Economy
Fact Box India’s FDI equity inflows
About FDI
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UPSC PYQ Q: Justify the need for FDI for the development of the Indian economy. Why is there a gap between MOUs signed and actual FDIs? Suggest remedial steps to be taken for increasing actual FDIs in India. (UPSC 2016) |
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