India's FDI Inflows Jump 14% in FY25 to $81Bn, Services Sector Leads

India has received $81.04bn gross foreign direct investment (FDI) inflows during the fiscal year 2025, said the Ministry of Commerce and Industry on Tuesday. The provisional data shows that it marks a 14% rise from the previous year and overall highest in the last three years. FDI equity inflows alone surpassed $50 billion, registering a 13% year-on-year growth compared to $44.42bn in FY24. The gross FDI inflow in FY24 stood at $71.28bn.

The services sector emerged as the top recipient of FDI equity in FY25, attracting 19% of total inflows, followed by computer software and hardware at 16% and trading at 8%. FDI into the services sector rose by 40.77% to $9.35bn from $6.64bn in the previous year. India's manufacturing FDI rose 18% in FY25, reaching $19.04bn compared to $16.12bn in FY24.

Maharashtra accounted for the highest share (39%) of total FDI equity inflows in FY 2024–25, followed by Karnataka (13%) and Delhi (12%). Inflow for Maharashtra stood at $19.6bn, Karnataka at $6.61bn and for Delhi at $6bn.

Among source countries, Singapore led with 30% share at $14.94bn, followed by Mauritius at 17% with $5.45bn and the United States with 11% at $3.73bn. On the other hand, inflows from countries like the Netherlands, Japan, UK and Germany saw a decline.

Over the past 11 financial years (2014–2025), India has drawn $748.78bn in FDI, marking a 143% surge compared to the $308.38bn received in the preceding 11-year period (2003–2014). This recent period alone accounts for nearly 70% of the total $1,072.36bn in FDI that India has received over the last 25 years—a reflection of sustained investor confidence, policy liberalisation and ongoing economic reforms.

Additionally, the number of source countries for FDI increased from 89 in 2013-14 to 112 in 2024-25, underscoring India’s growing global appeal as an investment destination, it added.