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Foreign Direct Investment Opportunities in India

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Foreign Direct Investment Opportunities in India
Directory of Management e.Publications July (2011) Vol. 1, Issue 1

FOREIGN DIRECT INVESTMENT OPPORTUNITIES IN INDIA

Author(s): Mujahid Hanif
Research Student, Department of Management Sciences, The Islamia University of Bahawalpur.

© HRMARS, Pakistan

www.hrmars.com

Directory of Management e.Publications July (2011) Vol. 1, Issue 1

1. Introduction
There are plenty of reasons for why India is a good destination for foreign direct investment. India has a high spend able income, emerging middle class, low cost competitive workforce; investment friendly policies and progressive reform process all contributing towards India being an appropriate choice for investors.                    Following relax economic reforms in the late 1980s and early 1990s, India is now one of the world 's rapid growing economies, as well as the second most crowded. Faster growth is increasing and India now a leading world importer of vegetable oils and pulses. Despite a rich and extensive agricultural resource base and rising producer subsidies, farm sector investment and growth have remained sluggish, creating pressure for reform of domestic agricultural policies. It has been difficult to achieve consensus on the reform agenda, but measures to increase market orientation, improve marketing efficiency, promoting use of technology, and strengthening incentives for private investment are increasing. India has GDP of 1,367.216 Billion USD as for 2010 growing @ over 9% annually. India has a stable political environment and responsive administrative set up. Well established judiciary to enforce the law. Land of rich natural resources and different climatic conditions. India 's growth will start to overtake China 's within three to five years and thus it will become the fastest large economy with 9-10% growth over the next 20-25 years (Morgan Stanley). India has been continuously introducing investor friendly policies and incentive based schemes. India has



References: CIA World Factbook. (2011). India. Available: https://www.cia.gov/library/publications/the-world-factbook/geos/in.html Last accessed 30th Jan 2011. Economic Research Service, US Dept of Agriculture. (2009). Briefing Room: India. Available: http://www.ers.usda.gov/Briefing/india/ Last accessed 30th Jan 2011. IMF. (2010). World Economic Outlook. Available: http://www.imf.org/external/country/IND/index.htm Last accessed 30th Jan 2011. ITP Division, Ministry of External Affairs, Govt of India. (2011). Investment Available: http://www.indiainbusiness.nic.in/investment/investment.htm Last accessed 30th Jan 2011. kwintessential.co.uk. (2011). Doing business in India. Available: http://www.kwintessential.co.uk/etiquette/doing-business-india.html Last accessed 30th Jan 2011. Stylus inc. (2004). Doing Business in India: A Cultural Perspective. Available: http://www.stylusinc.com/business/india/business_india.htm Last accessed 30th Jan 2011. World Bank Group. (2011). Economy Profile of India. Available: http://www.doingbusiness.org/~/media/FPDKM/Doing%20Business/Documents/Profiles/Count ry/DB11/IND.pdf Last accessed 30th Jan 2011. worldbusinessculture.com. (2011). Doing Business in India. Available: http://www.worldbusinessculture.com/Business-in-India.html Last accessed 30th Jan 2011. © HRMARS, Pakistan www.hrmars.com

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