FDI inflows fell 42 percent in the July-September period

Foreign direct investment (FDI) into India plummeted 42 percent year on year in the July-September quarter of 2021-22, to $13.5 billion from $23.4 billion the previous year. Inflows, on the other hand, increased 39.17 percent from the pre-pandemic period of July-September FY20.

Total FDI inflows, including equity inflows, re-invested earnings, and other capital, were down 30% year on year in the second quarter, at $19.7 billion, compared to $28.1 billion in the September quarter of FY21.

FDI into India more than quadrupled to $17.5 billion in the first quarter of 2021-22, up from $6.56 billion the previous year. In the first half of the fiscal year, India received $31.1 billion in FDI equity inflows, a 4 percent increase year on year.

Singapore was the top source of FDI in the first six months of FY22, with the United States coming in second.