Emerging growth dynamism of Indian economy in rapidly globalising world is highly recognised and commented by a large body of researchers during the recent period. In fact, the Indian planning has made long concerted effort to develop strategic and competitive capabilities in the agents of production. During the recent periods, these capabilities have started paying. Such trends became more lucid with the strengthening of Indian capital especially abroad as the Indian capital has initiated collaborations and mergers with the global players. This study provides insights into such achievement of the Indian economy. Besides providing a review of theory and practice of emerging multinationals from developing countries, this paper examines India’s outward foreign direct investment in an evolutionary perspective. In its endeavor, the study besides tracing the emerging pattern of India’s outward foreign direct investment, hints at the facilitating role of state policy to encourage the outflow of foreign direct investment.