Singapore top investor in India – Mauritius, US, Japan and Netherlands in the list of top 5 FDI inflows countries in FY24

NEW DELHI : In the fiscal year 2023-24, Singapore emerged as the largest source of foreign direct investment (FDI) into India, despite a 31.55% drop in inflows to $11.77 billion.

The total FDI — which includes equity inflows, reinvested earnings and other capital — equity inflows into India fell to $44.42 billion in 2023-24, a 3.49% decrease from $46.03 billion in the previous year. Overall FDI decreased by 1% to $70.95 billion from $71.35 billion.

Following the amendment of the India-Mauritius tax treaty in 2016, which reduced Mauritius’s attractiveness for investments, Singapore has become the preferred jurisdiction for routing foreign capital into India. This shift is supported by Singapore’s favourable tax regime and its role as a prominent financial hub. The US was the third-largest investor in India, contributing $4.99 billion in foreign investments, down from $6 billion the previous fiscal year.

The Economic Survey 2023-24, that was tabled in the Parliament by Finance Minister Smt. Nirmala Sitharaman, noted that the Net FDI inflows to India declined from $42.0 billion during FY23 to $26.5 billion in FY24 as an impact of decline in global FDI flows. It further said that the gross FDI inflows moderated only by 0.6 per cent from $71.4 billion in FY23 to just under $71 billion in FY24.

Here are the top 10 countries that have invested in India in FY24

-Singapore: $11.77 billion
-Mauritius: $7.97 billion
-USA: $4.99 billion
-Netherlands: $4.93 billion
-Japan: $3.17 billion
-UAE: $2.9 billion
-UK: $1.2 billion
-Cyprus: $806 million
-Germany: $505 million
-Cayman Islands: $342 million