FDI INFLOWS IN INDIA IN 21ST CENTURY

India needs huge funds for the development of different sectors. The domestic funds are not sufficient to fulfill the requirement so external finance is needed. The FDI is one of the best way to get external finance.The overall trend of FDI in India is positive, except some years. The Maharashtra and Delhi NCR regions get 49 percent of total FDI. The FDI is coming in a particular region due to certain reasons. The trend also shows that maximum FDIs are coming from few countries, such as Mauritius (35 percent), Singapore(14 percent) and U.K.(7 percent). The investment is also coming in India in the form of FII. The FIIs investment in India is not consistent since 2000-01, but in 2014-15 it has increased significantly. India needs to be cautious and less depend upon FIIs.