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Jan10
FDI: India Doing Great But ……..

When it comes to foreign direct investment (FDI), India has been surely doing great consistently for the last few years. The recent UNCTAD report also supports this idea. The Hindu reported:

It said FDI inflows to South, East, Southeast Asia and Oceania reached a new high of 187 billion dollars in 2006, showing an increase of 13 per cent over 2005.

Investment to developed nations rose by 48 per cent to 800 billion dollars last year, well over the levels of the previous two years.

India, it said, surpassed South Korea to become the fourth largest recipient in the region while China, Hong Kong and Singapore were the three largest recipients.

 

 

 

This is good news but India needs to do much better than that. In terms of attracting FDI, India is far behind than China. India needs to attract FDI in the level of China if it wants to generate employment. I often feel that Indian government officials lack the aggressiveness and eagerness to attract foreign companies.

Jobless economic growth is emerging a big problem for India. The only solution to this problem is to attract more FDI.


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