FDI IN INDIA UP 40% TO RS 1.76 LAKH CRORE IN 2014-15
Foreign direct investment in India grew by about 40 per cent year-on-year to Rs 1.76 lakh crore in 2014-15. In 2013-14, the country had attracted Rs 1.26 lakh crore FDI.
During the last fiscal, the Foreign Investment Promotion Board ( FIPB) had received 350 proposals and in 11 meetings and 241 were cleared
According to the data of Department of Industrial Policy and Promotion ( DIPP) the top 10 sectors that receive maximum foreign investment include services, automobiles, telecommunication, computer software and hardware and pharmaceuticals.
India attracts maximum FDI from Mauritius, Singapore, the Netherlands, Japan, and the US.
Healthy inflow of foreign investments into the country helped India’s balance of payments (BoP) situation.
India is estimated to have a requirement of around USD 1 trillion investments over five years to overhaul its infrastructure sector, including ports, airports and highways to boost growth.
Government has relaxed FDI norms in various sectors, including insurance, railways and medical devices, to boost FDI in the country.
The government and Oyu Tolgoi’s shareholders have been locked in negotiations since 2013 on the second phase of the mine, with Ulan Bator alleging unpaid taxes and looking to renegotiate the ownership terms.
Rio subsidiary Turquoise Hill last year priced the underground expansion at $5.4 billion. It will unlock 80 percent of Oyu Tolgoi’s value.
The statement said the two sides agreed on a financing plan for the next phase which “addresses the key outstanding shareholder issues and sets out an agreed basis for the funding of the project”.
Turquoise Hill owns 66 percent of the firm, with the Mongolian government holding 34 percent.
Rio Tinto added it has already ploughed $6 billion into the mine, with $1.3 billion paid in “taxes, fees and other payments”.
In 2014 foreign direct investment into the landlocked country plummeted 74 percent, Mongolian central bank data shows, and economic growth dropped to 7.8 percent.
Despite the minerals boom many citizens remain poor, and politicians in the country of three million have faced rising suspicion of foreign investors, along with concerns about environmental damage and how fairly mineral wealth is shared.