According to UNCTAD’s World Investment Report 2019,Foreign Direct Investment (FDI) into India has increased by 6% to $42 billion in 2018.
The sectors which received the strong inflows includes (a)manufacturing, (b)communication (c)financial services (d)cross-border merger and (e)acquisition activities.
The report ranks India at 10th position amongst the top recipients of FDI in 2018.
The report also says that FDI inflows has increased in South Asia by 3.5% to $54 billion.India attracted over 77% of the total foreign direct investments that came to the South Asian region
However,the report says that the global FDI flows has fallen by 13% in 2018 to $1.3 trillion from $1.5 trillion in 2017.It is the third consecutive annual decline.
The contraction was largely due to US multinational enterprises(MNEs) withdrawing earnings from abroad making use of tax reforms introduced by the US government in 2017.
The United Nations Conference on Trade and Development (UNCTAD) was established in 1964 as a permanent intergovernmental body.
UNCTAD is the part of the United Nations Secretariat dealing with trade, investment and development issues.
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