Economic Reforms and Foreign Direct Investment in India: Policy, Trends and Patterns

Jatinder Singh

The IUP Journal of Financial Economics, 2010, vol. VIII, issue 4, 59-69

Abstract: In the context of increasing competition among nations and sub-national entities to attract Foreign Direct Investment (FDI), the present paper tries to analyze the emerging trends and patterns of FDI inflows into India in response to various policy measures announced by the Government of India since mid-1980 and later. The empirical analysis tends to suggest that the FDI inflows, in general, show an increasing trend during the post-reform period. Furthermore, country-wise comparison of FDI inflow also indicates that FDI inflow into India has increased considerably in comparison to other developing economies in the recent years. Thus, the study indicates that the FDI inflows into India responded positively to the liberalization measures introduced in the early 1990s.

Date: 2010
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