Foreign Direct Investment and its Impact on Indian Economy
- Author Chittaranjan Das
- DOI
- Country : India
- Subject : Commerce
Keywords : Economy, FDI, gross domestic product, growth, sectors
Abstract
Foreign Direct Investment (FDI) is very much essential for the economic and other development of a country. This paper tries to examine the growth and size and sources of the FDI flows into India during the study period (1992-93 to 2013-14) and to study the impact of FDI on Indian economic growth in terms of gross domestic product (GDP).The pattern of foreign direct investment (FDI) inflow into India, over the twenty years (1992-93 to 2013-14), has a zigzag trend, with 6.37 per cent annual average growth rate. Among all the countries Mauritius has been the largest investor in India and its share of investment is about 34 percent. Only ten countries supply about 86 percent of the total FDI inflow into India. FDI has a significant impact on GDP at 1% level of significance and the rate of elasticity between FDI & GDP is 0.292%.
Comments
No have any comment !