Foreign Direct Investment In India Jumps 18% In First Half Of FY26

Foreign direct investment (FDI) in India rose 18 per cent to USD 35.18 billion during April-September this fiscal year, while the inflow from the US more than doubled to USD 6.62 billion during the first half of this fiscal, according to government data released on Monday.

Foreign Direct Investment (FDI) during April-September FY24 stood at USD 29.79 billion.

During the June-September quarter of 2025-26, the inflows increased by over 21 per cent year-on-year to USD 16.55 billion.

Total FDI, which includes equity inflows, reinvested earnings and other capital, increased to about USD 50 billion during the first six months of this fiscal year as against USD 42.3 billion in the same period of 2024-25.

Inflows from the US rose to USD 6.62 billion during the latest six-month period from USD 2.57 billion recorded in April-September 2024-25.

Singapore was the largest source of FDI during the period, contributing USD 11.94 billion. It was followed by the US, Mauritius (USD 3.47 billion), UAE (USD 2.33 billion), Cayman Islands (USD 1.83 million), the Netherlands (USD 1.63 billion), Cyprus (USD 1.4 billion), and Japan (USD 1.21 billion).

The US is the third-biggest investor in India with investments of USD 77.27 billion between April 2000 and September 2025. The top investment source is Singapore (USD 186.82 billion), followed by Mauritius (USD 183.66 billion) in the same period.

Sector-wise, inflows during April-September this fiscal in computer software and hardware rose to USD 9 billion, services (USD 5 billion), trading (USD 2.78 billion), automobile (USD 1.57 billion), construction development (USD 233 million), non-conventional energy (USD 2 billion) and chemicals (USD 534 million).

Among states, the data showed, Maharashtra received the highest inflow of USD 10.57 billion during the period.

It was followed by Karnataka (USD 9.4 billion), Tamil Nadu (USD 3.57 billion), Haryana (USD 3.22 billion), Gujarat (USD 2.24 billion), Delhi (USD 2.3 billion), and Telangana (USD 1.14 billion).

The government has put in place an investor-friendly FDI policy, under which most sectors are open for 100 per cent overseas inflows through the automatic route.

The government has undertaken reforms across multiple sectors to liberalise FDI norms. Between 2014 and 2019, significant reforms included increased FDI caps in defence, insurance, and pension sectors, and liberalised policies for construction, civil aviation, and single-brand retail trading.

From 2019 to 2024, notable measures included allowing 100 per cent FDI under the automatic route in coal mining, contract manufacturing, and insurance intermediaries.

During the last financial year, FDI equity inflows were USD 50.01 billion, while the overall FDI stood at USD 80.6 billion.

(Except for the headline, this story has not been edited by NDTV staff and is published from a syndicated feed.)