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According to UNCTAD Report 2025 "India Ranks 15th Globally in FDI Inflows with USD 27.6 Billion".

International | Dated: 22 Jun 2025

India has been ranked 15th among the top global destinations for Foreign Direct Investment (FDI) in 2024, as per the World Investment Report 2025 released by the United Nations Conference on Trade and Development (UNCTAD). Despite a minor decline in inflows, India improved its position from 16th to 15th globally, reflecting continued investor confidence amid a challenging global environment.

🎯 Key Highlights:

  • - India received USD 27.6 billion in FDI inflows in 2024, compared to USD 28.1 billion in 2023, marking a marginal 1.9% year-on-year decline. However, this drop did not hinder India’s climb in global rankings, showcasing its relative stability and attractiveness to foreign investors even during a period when global FDI declined by 11%, reaching USD 1.3 trillion. The report attributes India's resilience to structural reforms, large market size, and strong government-backed policy frameworks.
  • - India ranked 4th globally in greenfield project announcements, with 1,080 projects registered in 2024. This marked an increase of 28% compared to the previous year, highlighting the country's growing appeal in new investments across sectors like renewable energy, electronics, and manufacturing. Greenfield investments are key indicators of future employment generation and economic activity, and India’s surge is a positive sign of investor sentiment.
  • - In the domain of international project finance, India secured 97 deals, placing it among the top 5 global destinations in this category. These projects were primarily in sectors like transportation, renewable infrastructure, digital services, and logistics. The strong project finance pipeline indicates rising investor interest in India's long-term growth sectors supported by stable regulatory frameworks and government-backed viability gap funding mechanisms.

💡 Other Important Facts:

  • (i) UNCTAD’s report reaffirmed India’s position as the largest recipient of FDI in South Asia, far ahead of neighbouring countries. The bulk of South Asia’s inward investments were directed toward India, solidifying its role as the regional investment hub. The report also cited India's proactive FDI policies, industrial corridors, and flagship schemes such as Make in India and PLI (Production Linked Incentive) as key drivers.
  • (ii) India witnessed a 25% surge in planned capital expenditure, reaching USD 110 billion in 2024, making up nearly one-third of Asia’s total capital investment value. This significant jump is driven by strong investor confidence in digital technology, manufacturing ecosystems, and clean energy transitions. Sectors such as semiconductors, electric mobility, and AI-based infrastructure saw sharp interest from multinational corporations.
  • (iii) The report highlights that despite global challenges like geopolitical tensions, high interest rates, and supply chain issues, India maintained its investment appeal through macroeconomic reforms, ease of doing business, and sectoral liberalization. Key ministries like DPIIT and the Ministry of Commerce and Industry continue to support growth through investor-friendly policies and outreach.

📚 Test Your Knowledge:

According to the UNCTAD World Investment Report 2025, India ranked what in global FDI inflows for 2024?

Correct Answer: 15th

🚀 Quick Recap:

About UNCTAD

  • Head: Rebeca Grynspan
  • Headquarters: Geneva, Switzerland