A STUDY ON ROLE OF FDI IN INDIAN ECONOMIC DEVELOPMENT

The economic development is the success of every country. The business is the important determinant of economic development. Without the existence of business, the economic development is impossible as the business is the major economic activity. To conduct business practices, the capital is the essential factor. The capital can be raised through different sources. But most of the businesses suffering from inadequacy of capital. FDI is an investment in one country by individual or organization from another country. Thus, the FDI ensures adequate capital in the economy to conduct business. India is a country which attracts millions of FDI by providing an investment friendly environment to the FDI. The FDI has a crucial role in the economic development of India. This study is an attempt to analyse the FDI inflows towards India and the major reasons why India attracts FDI.