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Private foreign Investment

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Title: Private foreign Investment

Essay Details:

Subject: Business

Author: Dan D

Date: February 28, 2016

Level: University

Grade: A

Length: 2 / 528

Essay text:

In the 1970s there was hardly any new foreign investment in India: indeed, some firms left the country. Inflows of private capital remained meagre in the 1980s: they averaged less than $0.2 billion per year from 1985 to 1990. In the 1990s, as part of wideranging liberalisation of the economy, fresh foreign investment was invited in a range of industries. Inflows to India rose steadily through the 1990s, exceeding $6 billion in 1996-97. The fresh inflows were primarily as portfolio capital in the early years (that is, diversified equity holdings not associated with managerial control), but increasingly, they have come as foreign direct investment (equity investment associated with managerial control)...

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