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Foreign Direct Investment Is Set To Grow In Huge Numbers In The Coming Years

Foreign investment in India rose to the highest value in three years in 2011. Lack of transparency, poor infrastructure and policy paralysis is the new mantra for growth among the economic investors these days. Foreign direct investment in India is going to be huge in the coming years.

FDIs set to plummet in India

FDIs set to plummet in India

According to an Ernst & Young (E&Y) report, Foreign direct investment in India rose 13% to $50.81 billion in the first 11 months of 2011 compared to the previous year while the total number of projects rose 25% to 864. Though the economic growth of India declined from an annual rate of 8.5% to about 7% in 2010/11 and many problems like corruption and policy paralysis prevail, investors are sure that revenue growth in the next 12 months will increase.

70% of 382 international companies said they plan to increase or maintain their operations in India while only 19% said they had no plans to enter the country or were preparing to withdraw according to a report given for the World Economic Forum gathering in Davos, Switzerland.

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