Outward Foreign Direct Investment (FDI) from India stood at $5.09 billion in the first two months of 2011-12, according to the Reserve Bank of India data. The amount of outward FDI increased sharply in 2010-11 to nearly $44 billion from approximately $17-$18 billion in each of the previous two years. The data consists of equity, loan and guarantees issued by the companies who invest abroad.
Joint ventures or wholly-owned subsidiaries have been perceived as an effective medium of economic co-operation between India and other countries, RBI said. Such overseas investments catalyse growth in our exports, transfer of technology and skill, sharing of results of R & D, access to wider global market, promotion of brand image, generation of employment and utilisation of raw materials available in India and in the host country, said RBI in the release.The central bank will publish FDI data on monthly basis from July 2011.
