M.Ganesh, Faculty in MBA,
Thanthai Hans Roever College, Perambalur ganeshm67@gmail.com and
K.Soundarapandiyan, Faculty in MBA, Sri SaiRam Engineering College Chennai-44
Soundrap_mba@yahoo.com
ABSTRACT
Foreign Direct Investment (FDI) is considered to be the lifeblood for economic development as far as the developing nations are concerned. Since the liberalization of the Indian economy inflows of foreign direct investment has greatly increased. As far as forting direct investment is concerned, its flow in India is very small as compared not only to China but also to India 's potential. Economic Survey for 2005-06 points out that India has potential to absorb $150 billion FDI in the infrastructure sectors alone by 2010.Most of the FDI inflows come from a few countries. Between 1991 and 2005, investments of 10 countries accounted for 71 percent of FDI, the main investor countries being the USA, the Netherlands, Japan, and the United Kingdom. With regard to FDI, U.S. is one of the largest foreign direct investors in India. India is becoming an attractive location for global business on account to its buoyant economy, its increasing consumption market, and its needs in infrastructure and in the engineering sector. Opening and FDI have really created new opportunities for India 's development and boosted the performances of local firms as well as the globalization of some of them. Such a trend has undeniably raised Indian 's stature among developing countries.
INTRODUCTION: Foreign direct investment (FDI) is considered to be the lifeblood for economic development as far as the developing nations are concerned. FDI to developing countries in the 1990s was the leading source of external financing.
The rise
References: www.economywatch.com www.thehindubusinessline.com www.theeconomictimes.com www.businessstandard.com www.businessandeconomy.org