1. FDI(Foreign Direct Investment)
Team Members
Gaurav Prakash
Divyadarshi
Deepshikha
Deepak Choudhary

2. INVESTMENT Portfolio investment
Investment that does not involve obtaining a degree of control in a company
Foreign Direct Investment
Purchase of physical assets or a significant amount of the ownership (stock) of a company in another country to gain a measure of management control

3. Invesment in India Automatic Route Prior Permission (FIPB)
General Rule No prior permission required Inform Reserve Bank within 30 days of inflow/issue of shares
By Exception
Prior Government
Approval needed.
Decision generally
within 4-6 weeks

4. FDI
Direct investment into production or business in a country by a company in another country.
Either by buying a company in the target country or by expanding operations of an existing business in that country.

5. FDI inflows by Region and Economy

6. Sector-wise FDI inflows in India

7. Top country Investors in India

8. Forecast of FDI In India

9. Advantages of FDI
Increase investment level and thereby income & employment
Increase tax revenue of government
Facilitates transfer of technology
Encourage managerial revolution through professional management
Increase exports and reduce import requirements
Increase competition and break domestic monopolies
Improves quality and reduces cost of inputs

10. Limitations of FDI
Flow to high profit areas rather than main concern areas
Through their power and flexibility, MNC can undermine economic autonomy and control
Sometimes interferes in the national politics
Sometimes engage in unfair and unethical trade practices
Sometimes result in minimizing / eliminating competition and create monopolies or oligopolistic structures

11. 100% FDI permitted in India
Engineering & Manufacturing sectors
Roads & Highways, Ports and Harbors
Industrial model towns/industrial parks
Hotels & Tourism
Pollution Control and Management
Advertising & Film industry
Power generation (hydro-electric, coal/lignite, oil or gas based)
Information Technology including E-Commerce

12. Factors affecting FDI
Profitability: Attract where return on investment is higher
Costs of production: Encouraged by lower costs of production like raw materials, labor .
Economic Conditions: Market potential, infrastructure, size of population, income level etc
Government policies: Policies like foreign investment, foreign collaboration, remittances, profits, taxation, foreign exchange control, tariffs etc.
Political factors: Political stability, nature of important political parties and relations with other countries.

13. OBJECTIVE OF THE STUDY
The main objective of the study is to know about in which sector the industries are invest our money .
To identify factors which inhibit higher FDI and suggest remedial steps.
To examine policy reforms towards mergers and acquisition for attracting FDI
To suggest changes in institutional apparatus and organizations, both in Centre and States, for attracting the FDI .

14. CONCLUSION
The result of all these efforts are encouraging: the inflow of foreign capital has been steadily rising year to year so that FDI is better then FII
Investors based in many countries have taken advantage of the India-Mauritius bilateral tax treaty to set up holding companies in Mauritius which subsequently invest in India, thus reducing their tax obligations.
By industry, the largest destinations for FDI are electrical equipment (including computer software and electronics), services, telecommunication & transportation.