Page 15 - Policy Economic Report - June 2024

POLICY AND ECONOMIC REPORT
OIL & GAS MARKET

6. India sees 43% decline in FDI inflows in 2023, drops to 15th spot

India slipped seven ranks to 15 in the World Investment Ranking in 2023 as foreign direct investment
inflows fell 43 percent to $28 billion, a report released by the United Nations Conference of Trade and
Development (UNCTAD) showed on June 20, 2024. The country was ranked eighth last year, as it attracted
inflows worth $48 billion.

While India’s rank slipped, Brazil, Canada, Germany, and Mexico moved up the rank in the global index,
with Brazil becoming the fifth top FDI destination. The top order remains unchanged with the US attracting
highest FDI at $311 billion, followed by China, Singapore and Hong Kong, China.

However, despite the fall in global rankings according to value, India remained one of the top destinations
in terms of greenfield project announcements and international project deals.

The country ranked second in international project deals securing 163 deals in 2023, topped only by the
US at 334. In terms of greenfield projects, India was ranked fourth with 1,058 projects, after the US, the
UAE, and the UK.

Table 1: Inflows declined in more than half of the top 20 countries

Source- UNCTAD

India moved up the ranks in terms of outflows as well, with the country ranking 20th in 2023 compared
with 23rd in the previous year. The amount of outflows increased to $15 billion from $13 billion in the
previous year.

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