Indian Economy News

Net Foreign direct investment (FDI) improves to Rs. 33,528 crore (US$ 3.9 billion) in April 2025 as repatriation slows: Reserve Bank of India (RBI)

  • IBEF
  • June 26, 2025

India’s net foreign direct investment (FDI) rose to Rs. 33,528 crore (US$ 3.9 billion) in April 2025, up from Rs. 16,334 crore (US$ 1.9 billion) in April 2024, driven by a sharp decline in capital repatriation. According to the Reserve Bank of India (RBI), gross inward FDI increased to Rs. 75,654 crore (US$ 8.8 billion) in April 2025, compared to Rs. 50,772 crore (US$ 5.9 billion) in March 2025 and Rs. 61,898 crore (US$ 7.2 billion) in April 2024. Capital repatriation or divestment reduced significantly to Rs. 14,615 crore (US$ 1.7 billion) from Rs. 35,248 crore (US$ 4.1 billion) in the corresponding period last year. However, cumulative repatriation during FY25 rose to Rs. 4,41,372 crore (US$ 51.4 billion) from Rs. 3,81,263 crore (US$ 44.4 billion) in FY24, which the RBI attributed to a maturing market that allows smooth foreign investor entry and exit.
Meanwhile, India’s outward FDI surged to Rs. 27,510 crore (US$ 3.2 billion) in April 2025 from Rs. 10,316 crore (US$ 1.2 billion) in April 2024. Key sectors driving outward investments included electricity, gas, and water, and financial, insurance, and business services. Major destination countries for Indian investments were Singapore, Mauritius, and Germany. As per the RBI’s State of the Economy bulletin, manufacturing and business services jointly accounted for nearly 50% of gross FDI inflows. The central bank emphasised that sustained high gross inflows reaffirm India’s position as an attractive global investment destination.

Disclaimer: This information has been collected through secondary research and IBEF is not responsible for any errors in the same.

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