The government decision to raise the cap on
foreign ownership in multi-brand retail and aviation businesses comes in the backdrop of an alarming drop in foreign direct investment (FDI) early this financial year.
If business confidence perks up as a result of reform measures - and it shows signs of doing so - that fall could be reversed. Some trends in FDI inflows into India:
Text by Jyotindra Dubey
Graphic by Santosh Kushwaha
