In Present Scenario Role of FDI in Indian Economy – A Study: Unlocking the Potential of FDI in India

Abstract

The future prospects of these foreign investors in India look a bit gloomy at the moment due to the global meltdown and recession that the world is facing. But as the economies start to recover, the boom in the foreign direct investment segment is bound to return, and that with a big bang. The rapid growth of world population since 1950 has occurred mostly in developing countries. This growth has not been matched by similar increases in per-capita income and access to the basics of modern life, like education, health care, or - for too many -even sanitary water and waste disposal.FDI has proven when skillfully applied to be one of the fastest means of, with the highest impact on, development. However, given its many benefits for both investing firms and hosting countries, and the large jumps in development were best practices followed, eking out advances with even moderate long-term impacts often has been a struggle. Recently, research and practice are finding ways to make FDI more assured and beneficial by continually engaging with local realities, adjusting contracts and reconfiguring policies as blockages and openings emerge.