Foreign institutional investment provides capital to countries that implement structural, legal, and administrative reforms. According to SEBI, foreign pension funds, mutual funds, insurance companies, asset management companies, university funds, banks, and charitable organizations can register as foreign institutional investors in India. FII inflows started in the early 1990s and have helped develop India's infrastructure, bridge technological gaps, utilize resources optimally, balance payments, diversify markets, and develop sectors like telecom, IT, services, automobiles, tourism, and healthcare through research and development. However, lack of political and economic stability, poor infrastructure, and corruption have been roadblocks to FII in India, while FII also risks inflation, disadvantages small investors, and

1. FII- Foreign Institutional Investment “Foreign capital goes to that country where governments carry out structural reforms, legal reforms and administrative reforms and that is the road we have taken so far," -P. CHIDAMBRAM, Former Union Finance Minister

3. Mutual Funds Investment

4. Insurance companies

5. Asset Management Companies

6. University Funds

7. Bank

9. Bridge the technological gap

10. Optimum utilization of resources

11. Balancing the balance of payment position

13. Exploration of mineral reserves

14. Develop Telecom IT sector

15. Service sector opportunities

16. Positive future of automobile industry

17. Development of Tourism industry

18. For R & D and healthcare sector development

20. Lack of economic stability

21. Poor infrastructure

24. Managing uncertainty and controlling risks.

25. Improving capital markets.

26. Equity market development aids economic development.

27. Enhances competition in financial markets.

28. Improved corporate governance.

30. Problems for small investor.

31. Adverse impact on Exports.

32. Impact on Exports.