Abstract
Invest in India is an initiative to market India as an investment destination all over the globe, to provide a networking platform to the Indian businesses at a global level and to provide information to the international investors about investment opportunities in India. It is the policy of the Government of India to attract and promote productive Foreign Direct Investment (FDI) from non-residents in activities which significantly contribute to industrialization and socio-economic development. FDI supplements the domestic capital and technology. This paper firstly speaks about the FDI culture in India, secondly, reviews economic reforms in India and global response to India’s reforms, the next level discusses the policy issues that would address India’s relative lack of success in attracting FDI and the ‘Expanding Opportunities for Global Retailers’ with reference to the retail sector. The last part reveals the key recommendations towards attracting Diaspora FDI. Based on the objective analysis, the key recommendations towards attracting FDI are revealed like allow 100 % FDI in retail and Small & Medium Enterprises (SME), develop a strategic vision for FDI with focus on latest technology, reduce the transaction costs & improve the infrastructure, international and domestic entrepreneurship, decentralize the administration process, reduce overly bureaucratic FDI facilities, private public partnership with private sector taking the lead, Indian professionals placed in key decision making positions, creative joint ventures and partnership to tap entrepreneurship and fix the policies to convert remittances into investment & create venture capital.
Highlights
‘Foreign Direct Investment (FDI)’ means investment by non-resident entity/person resident outside India in the capital of the Indian company under Schedule 1 of FEM (Transfer or Issue of Security by a Person Resident outside India) Regulations 2000 (Government of India, 2010)
If China, with its newfound faith in capitalism, can embrace and attract substantial volumes of FDI, why can’t India, which is blessed with western institutions and capitalist organizations? This impassioned advocacy of increased flows of FDI into India is based on the well worn arguments that FDI is a rich source of technology and know how and capital to boot, it can invigorate the labor intensive export oriented industries of India, promote technological change in the science based industries and put India on a growth path on par with China
This exuberance for FDI is an article of faith, India is asked to accept it as such, it is not based on an analytical review of India's needs and requirements and it’s potential for attracting large rows of FDI
Summary
‘FDI’ means investment by non-resident entity/person resident outside India in the capital of the Indian company under Schedule 1 of FEM (Transfer or Issue of Security by a Person Resident outside India) Regulations 2000 (Government of India, 2010). This impassioned advocacy of increased flows of FDI into India is based on the well worn arguments that FDI is a rich source of technology and know how and capital to boot, it can invigorate the labor intensive export oriented industries of India, promote technological change in the science based industries and put India on a growth path on par with China. This exuberance for FDI is an article of faith, India is asked to accept it as such, it is not based on an analytical review of India's needs and requirements and it’s potential for attracting large rows of FDI.
Sign-in/Register to view highlights & summary Sign-in/Register to access full text options 
Talk to us
Join us for a 30 min session where you can share your feedback and ask us any queries you have
Schedule a call
