Foreign direct investment inflows into the country are estimated to have touched US$8 billion in fiscal year 2005-06 Few years back, FDI inflow used to be in the region of US$3 billion to US$4 billion. The government aims at FDI inflow of around US$12 billion inflow in 2006-07, a 300% increase over the FDI inflow of 2003-04. FDI inflow had stood at US$5 billion in fiscal 2004-05. Reserve Bank data shows that FDI during the first nine months of 2005-06 was US$4.34 billion, which was 60% higher than the US$2.7 billion inflow received during the corresponding period of the previous year. Union Commerce and Industry Minister Kamal Nath said that the major portion of FDI has gone in to the manufacturing sector. The Industry Ministry’s Industrial Policy and Promotion Department’s Secretary Ajay Dua said that the government is awaiting the final figures of FDI for the year, which will be announced shortly. Dua also said that global FDI trends suggest India’s FDI inflows in the current financial would be around US$12 billion.
