Foreign direct investment (FDI) refers to an investment made to acquire a lasting interest in an enterprise operating outside the investor's home economy. FDI has been a major source of external financing for countries with limited capital, allowing them to receive funds from wealthier nations. Both FDI inflows to India and outbound FDI from India peaked in the late 2000s, though FDI recovered in subsequent years before declining again. India has positioned itself as one of the fastest growing economies and top destinations for inbound investment. While foreign collaborations can be beneficial in some industries, India must restrict activities of multinational corporations that increase dependence or drain resources, and ultimately work to reduce reliance on foreign investment.

1. FOREIGN DIRECT
INVESTMENT.
FDI (IN &
OUT)

3. According to the International Monetary Fund,
foreign direct investment, commonly known as FDI,
"... refers to an investment made to acquire lasting or
long-term interest in enterprises operating outside of
the economy of the investor." The investment is
direct because the investor, which could be a foreign
person, company or group of entities, is seeking to
control, manage, or have significant influence over
the foreign enterprise
INTRODUCTION

4. FDI is a major source of external finance
which means that countries with limited
amounts of capital can receive finance
beyond national borders from wealthier
countries. Exports and FDI have been the
two key ingredients in China's rapid
economic growth. According to the World
Bank, FDI and small business growth are
the two critical elements in developing
the private sector in lower-income
economies and reducing poverty.

5. YEAR. DIRECT INVESTMENT
TO INDIA (in $).
FDI BY INDIA ( in $)
2000 4,031 759
2001 8,865 900
2002 6,396 1,050
2003 5,854 5,000
2004 8,698 7,100
2005 9,755 8,700
2006 22,050 16,600
2007 34,000 18,723
2008 41,738 19,365
2009 33,425 16,528
2010 29,850 17,382
2011 33,000 12,564
2012 28,520 8,700
2013 31,550 9,758
2014 34,426 1,799

6. FDI graph…..
0
5,000
10,000
15,000
20,000
25,000
30,000
35,000
2000-2002 2002-2005 2005-2008 2008-2011 2011-2014
DIRECT INVESTMENT FDI

7. 0
5000
10000
15000
20000
25000
30000
35000
2000-2002 2002-2005 2005-2008 2008-2011 2011-2014
FLOW CHART OF FDI
DIRECT INVESTMENT TO INDIA FDI BY INDIA

8. INTREPRETATION
From this FDI(foreign direct investment) analysis ,I had come to
an conclusion that both FDI to India and outbound by India had
invested the peak in the late 2000’s. Even FDI recovered on
preceding years but also dropped later.
India has already marked its presence as
one of the fastest growing economies of
the world. It has been ranked among the
top 3 attractive destinations for inbound
investments. …………

9. CONCLUSION.
The idea of the economic power of the multinationals can be had
from the fact that “Today, with the solitary exception of India whose
national income is only twice the annual income of General Motors,
economic resources of all other under developed countries are
much less than those of multinational corporation.” Foreign
collaborations do have a positive role in certain fields like power
generation, steel, aluminum, petroleum, cement etc., but they
should not be allowed to proliferate in consumer goods, needed by
the upper strata of Indian society. The activities of multinationals
which increase our dependence on foreigners and drain away our
resources should be restricted. But a much bolder and persistent
policy has to be followed to get rid of them.

11. THANK YOU ……..