Impact of Liberalization on Foreign Direct Investment: An Empirical Analysis of Indian Economy in Post-Reform Period
Jatinder Singh,
Shashi Ranjan Jha and
Yadawendra Singh
The IUP Journal of Public Finance, 2011, vol. IX, issue 3, 23-33
Abstract:
As a result of the liberal investment policy regime followed by many developing countries, including India, the inflows of FDI in developing countries have drastically increased during the last couple of decades. In this context, the paper provides an understanding of the emerging trends and patterns in FDI inflows in India and FDI outflows from India during pre- and post-reform period. Evidence suggests that FDI inflow and outflow in general is showing a rising trend at much faster pace during post-reform period compared to pre-reform period and India’s share in world FDI also shows an upward trend in post-reform period. Further, the regional and sectoral composition of FDI inflow emerges to be a concern. The empirical findings indicated that the policy reforms positively contributed to the FDI inflows as well as outflows from India during post-reform period.
Date: 2011
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Persistent link: https://EconPapers.repec.org/RePEc:icf:icfjpf:v:09:y:2011:i:3:p:23-33
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