Impact of Foreign Direct Investment on India’s Economic Growth

The study's importance may be extrapolated from the fact that there isn’t many research on the relationship between foreign direct investment in India and economic development. This study aims to explore the relationship between foreign direct investment (FDI) and economic development using annual data for India from 1990 to 2015. We discuss the concept of foreign investment, the many types of foreign investment, the concept of foreign direct investment (FDI), and the various types of FDI in the first section. The concept of economic growth and a number of related notions are then examined. Both the factors influencing economic development and those affecting foreign direct investment (FDI) are covered in the second part. In the third section, a review of the literature has been done by producing a list of studies that have been done to look into the relationship between FDI and economic growth, organized historically and in accordance with the conclusions of each study. The last half of the paper included information on the present situation in India, the foreign direct investments (FDIs) coming into the nation, statistics and data sources, econometric approaches, and, finally, conclusions.