India's FDI Surge: A Closer Look at US and Singapore Contributions

Foreign direct investment in India increased by 18% to USD 47.87 billion during April-December 2025-26, with the US's inflow almost doubling. Singapore remains the top investor. Reforms in FDI policies continue to attract investments, especially in sectors like computer software, and hardware, and services.

Foreign direct investment (FDI) in India experienced a substantial 18% growth during the April to December 2025-26 period, totaling USD 47.87 billion. Government data revealed on Friday that the US nearly doubled its contributions, reaching USD 7.80 billion. Compared to the previous fiscal year, FDI stood at USD 40.67 billion.

Equity inflows saw a 17% increase, climbing to USD 12.69 billion in the October-December quarter, though they registered a 23% decline from the previous June-September quarter. The total FDI, encompassing reinvested earnings and other capital, rose by 17.4% to USD 73.31 billion in the nine months of this fiscal year.

Singapore maintained its position as the leading investor with USD 17.65 billion, followed by the US and Mauritius. Notable sector inflows included USD 10.7 billion in computer software and hardware. The Indian government continues to implement investor-friendly policies, liberalizing FDI norms across numerous sectors.