It can be observed that few key industries belonging to these two sectors have boosted at a faster rate than the others and attracted more FDI than the others.
It is the process of establishment of business or carrying out business activities in the host country by a foreign country. The Government of India had undertaken major reforms in the country’s FDI policies in 1991. The most recent policies allowed for increasing the FDI limit.
Foreign Direct Investment (FDI) is an international flow of capital where a company or individual of one country makes an investment in another country. The main objective of such investment is to establish business operations which will generate a lasting interest in the investee economy (Goldberg, n.d.).
As reviewed in previous articles, foreign direct investment (FDI), is an investment made by a foreign investor in a host country. Foreign investment is considered to be an integral part of an economy as it helps in accelerating the economic development.