This document discusses foreign direct investment (FDI) in India. It provides perspectives from economists at the OECD on India's FDI policies and performance. While India has become more open to FDI since economic liberalization in 1991, doubts and suspicions about foreign investment remain. Bureaucracy, regulations, intellectual property protection, and tax policy uncertainties have inhibited FDI. The services sector in India remains more restricted than manufacturing, despite services performing better economically. OECD economists argue India can learn from more FDI-friendly OECD countries in establishing predictable, transparent, and competitive investment policies tailored to India's economic strengths and needs.