New Delhi: The United States and Singapore together contributed over one-third of India’s total foreign direct investment (FDI) in FY2024-25, according to the Reserve Bank of India’s (RBI) latest Census on Foreign Liabilities and Assets of Indian direct investment entities.
Releasing the provisional results on Wednesday, the RBI said the 2024-25 census covered cross-border liabilities and assets of Indian entities with foreign investments.
Out of 45,702 entities that participated in the census, 41,517 companies reported either foreign direct investment (FDI) or overseas direct investment (ODI) in their balance sheets as of March 2025. Of these, 33,637 firms had also reported in the previous census round, while 7,880 entities were new additions this year, the central bank said.
US and Singapore Lead India’s FDI Inflows
The RBI highlighted that more than 75% of the companies reporting inward FDI were subsidiaries of foreign companies, meaning a single foreign investor held over 50% equity in them.
“The United States and Singapore together accounted for over one-third of the FDI in India; other top sources included Mauritius, the United Kingdom, and the Netherlands,” the RBI report stated.
During 2024-25, India’s total FDI stood at ₹68,75,931 crore, marking a rise from ₹61,88,243 crore in the preceding year.
The US contributed 20% of the total inflow, followed by Singapore (14.3%), Mauritius (13.3%), the UK (11.2%), and the Netherlands (9%).
Manufacturing and Services Drive FDI Growth
The manufacturing sector attracted the largest share of FDI equity capital, accounting for 48.4% at market value and 37.8% at face value.
The services sector came second, reaffirming its continued dominance in foreign investment inflows.
Singapore Tops as Key ODI Destination
In the case of outward direct investment (ODI), Singapore, the US, and the UK emerged as the top destinations for Indian investors.
India’s total ODI stood at ₹11,66,790 crore during FY2024-25.
Singapore captured 22.2% of this total, followed by the US (15.4%), the UK (12.8%), and the Netherlands (9.6%).
The RBI noted that more than 97% of the reporting direct investment (DI) entities were unlisted as of March 2025, yet they accounted for most of India’s FDI equity capital.
Non-Financial Firms Dominate FDI Holdings
Non-financial companies held 90.5% of the total FDI equity capital at face value, the central bank reported.
Moreover, in terms of market value, outward direct investment grew by 17.9%, outpacing the 11.1% growth in FDI inflows during FY2024-25.
As a result, the ratio of inward to outward direct investment narrowed to 5.9 times in March 2025, compared to 6.3 times a year earlier, indicating growing global engagement by Indian enterprises.
US, Singapore Account For One-Third Of FDI In India In FY2024-25: RBI Census
