Development and benefit of FDI in India | Original Article

ABSTRACT:

Foreign direct investment (FDI) is a key source of funds for India's economic development. To take advantage of India's evolving economic climate and lower labour, foreign firms engage directly in fastgrowing private Indian enterprises. There are so many advantages of Foreign Direct Investments in India like Promotion of investment in key areas, New technologies, Increase in Capital inflow, Increase in Exports, Promotion of Employment opportunities, Promotion of financial services, Exchange rate stability and development of backward areas. Foreign Direct Investment (FDI) is critical to a country's economic development. The entry of foreign cash has allowed India to improve its infrastructure, increase productivity, and increase employment. FDI also serves as a vehicle for acquiring sophisticated technology and mobilizing foreign exchange reserves. This Article is an attempt to explore new benefits of FDI for the economic growth of the nation.