Foreign direct investment (FDI) inflows are on track to reach $90 billion in the fiscal year ending March 2026, according to a senior government official, as India’s push to position itself as a manufacturing and regulatory haven gains traction with global investors.
FDI inflows have exceeded $88 billion during April–February of FY26, Amardeep Singh Bhatia, secretary in the Department for Promotion of Industry and Internal Trade, said in a briefing with select media on Thursday. He noted that the total should ‘hopefully’ move past $90 billion by the end of the fiscal year.
measures, , and India’s strong economic growth are collectively supporting sustained foreign investment inflows into the country, he said.
Invest India, the government’s investment promotion agency, also said that they have facilitated the grounding of 60 projects worth over $6.1 billion during the financial year 2025–26. These investments span 14 states and are estimated to generate more than 31,000 potential jobs, reflecting sustained and deepening global confidence in India as a preferred investment destination.
Europe dominated with 42% of the grounded investment value. Traditional partners held steady, but the more important signal was the entry of Brazil, New Zealand, and Canada, suggesting India’s investor base is widening beyond its usual circle.
Commenting on India’s policy environment, DPIIT’s Bhatia said, “The $6.1 billion grounded by Invest India in FY 2025–26 reflects the strength of India’s regulatory environment and the depth of its economic transformation.”
Invest India now offers end-to-end support, from early advisory to post-investment assistance, while connecting investors with local suppliers, buyers, and partners, including for joint ventures.
These interventions have resulted in improved investment conversion and scale. Grounded investments have registered nearly threefold growth over FY24–25, while the average deal size has increased by 1.8 times, indicating a shift towards higher-value investments.
However, Nivruti Rai, MD & CEO, Invest India, said, “These outcomes reflect a shift in Invest India’s role towards becoming a strategic investment partner. Invest India remains committed to sustaining this momentum as India progresses towards Viksit Bharat 2047.”
Chemicals, pharmaceuticals & biotechnology, and food processing sectors account for about 65% of grounded investments, driven by high-value projects aligned with India’s manufacturing and value-addition priorities. Emerging sectors such as electronics system design and manufacturing (ESDM), aerospace & defence, and Auto/EV also recorded significant activity.
Established states continued their dominance, Gujarat, Maharashtra, and Tamil Nadu among them, but FY26 also saw Assam, Bihar, and Sikkim ground projects for the first time, broadening India’s investment geography. Madhya Pradesh outpaced the others in employment creation.
These trends reflect the cumulative impact of India’s landmark policy initiatives, including Make in India, across 14 key sectors, and sustained infrastructure development programmes, which have strengthened India’s position as a globally competitive and reliable manufacturing destination, the press statement added.