Investment Opportunities in India

July 2, 2013

Investment options in India, one of the most attractive economies in the world

The Indian economy continues to grow at a good pace and holds a strong position. Indiaís economy is amongst the largest in the world on the basis of purchasing power parity (PPP). It is today one of the most attractive destinations for business investment opportunities with the available large manpower base, diversified natural resources and strong macroeconomic fundamentals. During April-January 2012-13, India received foreign direct investments (FDI) worth US$ 30.82 billion while FDI equity inflows during January 2013 stood at US$ 2.16 billion, according to latest data released by the Department of Industrial Policy and Promotion (DIPP).

India is the third-most attractive destination for FDI in the world. Indian markets have significant potential and a favorable regulatory regime for foreign investors, according to a survey titled World Investment Prospects Survey 2012ñ2014 by UNCTAD.

“We are keen to see FDI investment to surge in India and to that end, a favourable business climate will be helpful in going forward. We are encouraged to see there is a continued path towards fiscal consolidation,” according to Ms Christine Lagarde, Chief, International Monetary Fund (IMF).

Changes made by the Mr P Chidambaram, Union Minister for Finance, Government of India, in the Union Budget 2013-14 can greatly benefit high net worth individuals looking to invest in India, where returns on investments are higher than in any other market.

Key sectors in India where foreign investors can invest

India has become a trillion dollar economy with a self-sufficient agricultural sector, a varied industrial base and a well-established financial and services sector. There are numerous sectors that offer lucrative business opportunities in India. Some of the key investment sectors are:

  • Aerospace & Defence
  • Automotive
  • Banking
  • Biotechnology
  • Information Technology
  • Insurance
  • Power
  • Real Estate
  • Retail
  • Telecommunications

Government Initiatives in supporting business investments opportunities in India

In order to enable investors to have the complete benefit of available business opportunities in India, the Government of India has taken following initiatives:

  • The Government of India has relaxed in expense ratios for mutual funds and the prospects of higher FDI limits in insurance sectors could unlock huge opportunities in these investment sectors.
  • The Government has allowed Qualified Foreign Investors (QFIs) ó individuals, groups or associations ó to invest directly in Indian equities and bond markets.
  • To encourage the micro, small and medium enterprises (MSMEs), the Government of Tamil Nadu (TN) has announced a special component package, which includes creation of an additional land bank for setting up new industrial estates in the state, increase in subsidy for machinery purchases and creation of a single window clearance committee to facilitate speedy approvals for industrial estates, said Ms J Jayalalithaa, Chief Minister of Tamil Nadu (TN).

Investment facilitation in India

The Ministry of Overseas Indian Affairs in partnership with Confederation of Indian Industry (CII) has set up an Overseas Indian Facilitation Centre (OIFC) as a not-for-profit-trust, to facilitate non-resident Indians (NRIs), overseas corporate bodies of overseas Indians and non-resident Indians who want to invest in India.

In order to ease the process for foreign investors to invest in India, OIFC has developed an online toolkit – Investment Guide to India. The toolkit serves as a simple, practical and stage-wise investment guide for the non-resident Indians wanting to invest in India.

Advertisements

January 28, 2013

Flourishing Investment Opportunities in India for NRIs

The Indian economy continues to grow at a good pace and holds a strong position on the global map. The country’s gross domestic product (GDP) has been growing at an average rate of 8.5 per cent for the last five years.

India’s economy is amongst the largest in the world on the basis of purchasing power parity (PPP). It is today one of the most attractive destinations for business opportunities with the available large manpower base, diversified natural resources and strong macroeconomic fundamentals. In FY 2011-12, the country attracted foreign direct investment (FDI) of around US$ 46.8 billion in various sectors.

According to UNCTAD’s World Investment Prospects Survey 2012–2014, India is the third-most attractive destination for FDI in the world. Indian markets have significant potential and offer prospects of high profitability and a favorable regulatory regime for investors.

“We are keen to see FDI investment to surge in India and to that end, a favourable business climate will be helpful in going forward. We are encouraged to see there is a continued path towards fiscal consolidation. That there is a determination to improve the tax code. There is a determination to cap the subsidies at two per cent. All of those measures are good measures,” according to Ms Christine Lagarde, Chief, International Monetary Fund (IMF).

Key Sectors

India has grown to become a trillion dollar economy with a largely self-sufficient agricultural sector, a diversified industrial base and a stable financial and services sector. There are numerous sectors that offer lucrative business investment opportunities in India. Some of the key sectors are:

  • Aerospace & Defence
  • Automotive
  • Banking
  • Capital markets
  • Life Sciences
  • Information Technology
  • Insurance
  • Media & Entertainment
  • Mining & Metals
  • Oil and Gas
  • Ports
  • Power and Utilities
  • Real Estate
  • Retail and consumer products
  • Roads and highways
  • Telecommunications

Government Initiatives in supporting business investments opportunities in India

In order to enable individuals to have the complete benefit of available business opportunities in India, the Government of India has taken following initiatives:

  • The Government has signed memoranda of understanding (MoU) with 47 investors, attracting investments worth Rs 243.67 crore (US$ 43.83 million), according to S G Hegde, Joint Director, District Industries Centre, Mangalore
  • The Small Industries Development Bank of India (SIDBI) plans to utilise the Rs 5,000 crore (US$ 899.28 million) venture fund allocated to it for investments in micro, small and medium enterprises (MSME) over the next four years. 100 MSME clusters have already been identified for the establishment of credit facilitation centres, added Mr Sushil Muhnot, Managing Director, SIDBI
  • The Government of Maharashtra has decided to set up a manufacturing zone spread over 5,000 hectares under the National Manufacturing Policy. The policy seeks to give a boost to the manufacturing sector so that by 2022, it can contribute at least 25 per cent to the National GDP and add 100 million new jobs to the market. It has recognised large integrated areas called National Investment and Manufacturing Zones (NIMZ), which will be the growth drivers for the sector

November 23, 2012

Doing Business in India – A profitable opportunity for NRIs

The Indian economy continues to grow at a good pace and holds a strong position on the global map. The country’s gross domestic product (GDP) has been growing at an average rate of 8.5 per cent for the last five years.

India’s economy is amongst the largest in the world on the basis of Purchasing Power Parity. It is today one of the most attractive destinations for business and investment opportunities with the available large manpower base, diversified natural resources and strong macroeconomic fundamentals. In FY 2011-12, the country attracted foreign direct investment (FDI) of around US$ 46.8 billion in various sectors.

Advantage India

  • World’s largest democracy with 1.2 billion people
  • Stable political environment and responsive administrative set up
  • Well established judiciary to enforce rule of law
  • Land of abundant natural resources and diverse climatic conditions
  • India’s growth will start to outpace China’s within three to five years and hence, India will become the fastest large economy with 9-10 per cent growth over the next 20-25 years, according to a report by Morgan Stanley
  • Investor friendly policies and incentive-based schemes
  • India’s economy will grow five-fold in the next 20 years, as per a study by McKinsey
  • Cost competitiveness; low labour costs
  • Total labour force of nearly 530 million

Investment Options for NRIs in India

India offers a stable, prosperous foundation to grow one’s business. It offers rich business opportunities and markets to non-resident Indians (NRIs) for new products and services. It is one of the fastest, easiest and lucrative investment destinations in the world to set up business. India is the second-most profitable destination, according to UNCTAD’s World Investment Prospects Survey 2010-2012.

India is in the midst of rapid economic and social transition and is giving a feel good factor to the NRIs, especially the real estate sector. Returns from real estate investments have consistently performed well and have even outperformed other businesses in India.

The health care sector has also opened new business opportunities in India for NRIs to invest in the country because of the rise in disposable income, penetration of health insurance and change in lifestyle of present generation.

There are many other exciting business opportunities in India, especially, for entrepreneurs dealing in outsourcing technology, internet ventures, software development, e-commerce, etc.

Government’s intervention on policy issues, especially, tax regulations and FDI in sectors like retail, aviation etc. will play an important role in driving large transactions, especially, inbound deals. India’s growth story remains intact and NRIs can look forward to see better investment options in the second half of 2012.

Success Stories

India has witnessed a number of success stories – both Indian and multinational firms have registered higher profits, increased turnover and higher sales over the years. This has prompted them to reinvest profits and inject fresh capital into their processes in order to reap the benefits of the India growth story.

Investments have been made by Corporate across the board and almost all the sectors have seen inflow of funds. Global players such as Daimler Chrysler, General Motors, Ford, LG Electronics, Samsung, Sony, Amway, Tupperware, Pepsico, McDonald’s, IBM, Oracle, Microsoft, Aviva, Nortel, and Nokia among others have benefited from their business in India and have made expansion plans for the country. The companies plan to expand by way of product diversification, setting up manufacturing base in India, increasing the existing production capacity, establishing research centres in India, etc.

October 30, 2012

FDI in retail sector to create 10 million jobs in India

India has emerged as the fifth most favourable destination for international retailers, outpacing UAE, Russia, Indonesia and Saudi Arabia, according to A T Kearney’s Global Retail Development Index (GRDI) 2012. “India remains a high potential market with accelerated retail growth of 15-20 per cent expected over the next five years,” highlighted the report.

The foreign direct investment (FDI) inflows in single-brand retail trading during April 2000 to June 2012 stood at US$ 42.70 million, according to the latest data released by the Department of Industrial Policy and Promotion (DIPP). Cash and carry represents an opportunity worth around Rs 8,250 billion (US$ 154.45 billion) of the Rs 27,500 billion (US$ 514.84 billion) annual retail business in India. Online retail business is another format which has high potential for growth in the near future. India’s e-retail industry is likely to touch Rs 70 billion (US$ 1.31 billion) by 2015, up from Rs 20 billion (US$ 374.43 million) currently, as per an industry body report.

The recently announced FDI guidelines in the Indian retail sector are likely to create 10 million jobs over the next 10 years, according to Indian Staffing Federation (ISF). The report also mentioned that the new job opportunities in the sector will make it the largest sector in organised employment.

The federation has welcomed the new FDI in retail announced by the Government of India. For the record, the Government has announced its decision to allow 51 per cent FDI in multi-brand retail and 100 per cent FDI in single-brand retail. In addition, the Government has also opened up the aviation sector and put up four PSUs for disinvestment.

The ISF said that FDI in retail sector will have a much wider impact on organised employment as compared to what happened in the IT sector over a decade ago. The federation also said that these measures will open doors for the low-skilled people.

It is believed that logistics and supply chain companies are also expected to make rapid progress considering the fact that they will be the link between small manufacturers, farmers and the organised retail chains.

The close integration within the organised retail chains will support the small producers in gaining access to the latest processes, systems and technologies available in the market.

With increasing disposable incomes, expansion of stores and supporting economic factors, retail sector in India is expected to grow to about US$ 900 billion by 2014, according to a report by global consultancy and research firm, PricewaterhouseCoopers (PwC).

The next generation of India’s retail environment is favourable for the rise of luxury goods. Consumer markets in emerging market economies like India are growing rapidly owing to robust economic growth. The retail sector in India is highly competitive because of ever changing consumer preferences and the need for marketing differentiation. The retail enterprises need to focus on costs throughout the consumer value chain because of proliferation of new products and categories and ever increasing demands to optimise value chains.

October 22, 2012

How and Where to Invest in India?

If you’re thinking about investing in India to make money especially in real estate, you need to first determine your financial goals. Do you need to make money quickly, invest for your children’s college fund, or build wealth for your retirement? Once you determine your financial goals, you need to decide which type of investment strategy works for you.

The proof of an investment strategy is how it performs in bad times, not in good times! Strategy is the key, whether you are planning a war, an election campaign or buying a property. There is no such thing as a generic, one-size-fits-all strategy. It is a statement, not an essay. Not having one, is like driving a car through the woods at night without any lights on. Planning your investments in a way that suits your strategy can enable you to create and maintain a competitive advantage.

Choosing the right investment strategiesis all about matching the right real estate problem with the right investment solution. Your choice of which strategy to implement depends on two factors:

  • The profit outcome you want to achieve (i.e. capital gains and/or positive cash flow returns); and
  • The needs of the person who’ll be paying you money in exchange for the use of the property.

Your strategy will determine the extent of your success in the property investment world whether you invest in India or overseas markets. It is a crucial first step for the novice property investor and something that an experienced investor monitors and reviews in light of its performance. Strategy dictates the Why, When, Where and How of property investment.

Business Investment Opportunities in India for NRIs

In today’s global economy more and more companies are looking behind their countries borders for investment opportunities. These opportunities can be mergers and acquisitions, joint ventures or Greenfield investments. India is gaining more and more respect as a country to invest in, while it has some major advantages.

India is the second-most profitable destination, according to UNCTAD’s World Investment Prospects Survey 2010-2012.

Long-term projects call for large investments, other options include individual investment avenues and products.

National priority level and state-specific projects are being implemented across the country. These offer huge potential for investors willing to invest in India. The government is in fact, promoting Public Private Partnerships (PPPs) in many projects opening up new vistas in sectors such as infrastructure, education, healthcare etc.

The health care sector of India has also opened new business investment opportunities for Non-Resident Indians (NRIs)/Person of Indian Origin (PIOs) to invest in India because of the rise in disposable income, penetration of health insurance and unhealthy lifestyle of present generation.

The returns from real estate sector in India have consistently performed well and have even outperformed other investment options. The Government of India has created many policies and schemes to maximize business investment opportunities for NRIs/PIOs looking to invest in Indian real estate sector.

Government’s intervention on policy issues, especially, Tax Regulations and foreign direct investment (FDI) in sectors like retail, aviation etc. will play a role in driving large transactions, especially inbound deals.

August 6, 2012

Investment Prospects for NRI’s in India

India is considered to be the second favourite destination for investors from other countries. India’s unique and vast geography, endowed with diverse topography, has made it one of the most attractive investment destinations in the world.

The healthy growth of the Indian economy also becomes evident from the inflow of the foreign direct investment (FDI). Investment opportunities in India are plentiful. It becomes evident with the numerous MNC’s not only trailing their products and services into the Indian markets but also coming forward to set up their manufacturing units in India.

The vast investment opportunities available and the positive investment climate in India have become a part of every business entrepreneur’s life. The Ministry of Overseas Indian Affairs has set up an Overseas Indian Facilitation Centre (OIFC) as a not-for-profit-trust, in partnership with Confederation of Indian Industry (CII) to promote investment opportunities amongst the overseas Indians.

Some of the fruitful investment options in India are:

Fixed deposits: It is the most common among the investment opportunities in India. These are safe investments and provide decent return.

Insurance sector: There are a lot of insurance companies emerging these days as the health is becoming less secured because of the unhealthy life style of present generation. Some of the common insurance policies are life insurance, health insurance, home insurance and the car insurance policies.

Investment in Stock: The investment in stock market in India is one of the fastest means of earning. As the stock prices are always fluctuating, the chances of risk are also high along with high profits.

Mutual Funds: It is a collective investment scheme that pools money from many investors or foreign investors in India to purchase securities such as stocks, bonds, money market instruments and similar assets. It is an easy and safe investment with periodic withdrawals.

Real Estate: The population in India is increasing and therefore land is always in demand. Besides the need to reside, the establishment of industries also requires land. The projection of real estate includes sectors such as hospitality, manufacturing, housing, retail, commercial etc. Thus it is obvious that the cost of real estate is not going to fall down. Thus the investment opportunities in India are high and by investing in a land and selling it on demand by others is an easy source to earn money.

Also, there are many other exciting business investment opportunities in India, especially, for industrialists dealing in outsourcing technology, internet ventures, software development, e-commerce, etc.

The Government of India is trying to accommodate and utilise the conducive investment climate of the country by relaxing and even introducing new policies. The change in government policy, availability of cheap resources, strong operational units, etc. are the important reasons for FDI in India. It is important for foreign investors in India to have some trend analysis of investment scope before they plan to start or set up a business in India, thus the role of investment advisors to prepare extensive investment guides to help and direct the trade investments and the scope of foraying into a particular business in India becomes crucial.

June 14, 2012

Investment opportunities in Indian Retail Sector

Investment growth in India is related to the growth of the economy. India has one of the fastest growing retail markets in the world. The Indian Retail industry has grown at a CAGR of 14.6 per cent for the period FY07-12. With the increase in internet usage, retailing has become more popular as people can get what they want and what they need right at their doorstep. The biggest advantage of going to online retail stores is the price point analysis, massive discounts and fast service.

The contribution of food & grocery segment of Indian retail industry is estimated to have remained the highest at 58 per cent of the total retail sales during FY12, clothing & footwear segment remaining the second-largest contributor occupying 10.5 per cent share and entertainment, books & sports goods equipment segment is estimated to have outperformed the other retail segments, registering a CAGR of 21.3 per cent during the period FY07-12.

In India retail sector is divided into two classes:

Organised Retailing is the one, where trading activities are undertaken by licensed retailers. These are the retailers who are registered for various types of taxes like sales tax, income tax, etc. These include hypermarkets, retail chains and privately-owned large retail businesses. The organised sector accounts for only 2 per cent of the total trade.

Unorganised Retailing refers to the traditional forms of low-cost retailing, such as local kirana shops, owner-operated general stores, paan shops, convenience stores, etc. The sector constitutes almost 98 per cent of the total retail trade in India.

Investment in Retail

FDI in “single-brand” retail: The Indian government has removed the foreign direct investment of 51 per cent in single-brand retail outlets and opened the market fully for foreign investors by allowing the FDI of up to 100 per cent in this area. The retail store with foreign investment can only sell one brand. For example, Nike could only sell the products under the Nike brand.

FDI in “multi-brand” retail: FDI in multi-brand retail generally refers to selling multiple brands under one roof. Currently, this sector is limited to a maximum of 49 per cent foreign equity participation. For example, Wal-Mart, which helps in keeping food and commodity prices under control, shopper’s stop, etc.

Outlook

There are huge business investment opportunities in the retail sector in India. The future of Indian retail industry is very bright because of various trends like- rise in purchasing power of Indian consumer, greater proportion of working women, entry of foreign players in Indian market, private labels, penetration of organised retailing in tier II & III cities, capex plans, etc.

Major challenges in the organised retailing are issues pertaining to – real estate availability, legal and regulatory framework, bank finances for investment, shrinkages, supply chain management, etc.

In the next budget, the retail sector is expecting fiscal incentives that will enable the more growth of this sector. So, there is huge business potential in the retail sector.

May 22, 2012

Investment Opportunities in India

Investment refers to the concept of delayed consumption, which involves purchasing an asset, giving a loan or keeping funds in a bank account with the aim of generating future returns.

India has become one of the fastest growing economies. Investment growth in India is related to the growth of the economy. These days, people are getting more money as compared to the previous years. So, most of the investors look for emerging markets like India, where the growth rate is higher than the developed economies.

Today, it is very difficult to choose a sound investment plan so, most of the investors come with a question in mind “where to invest in India”.

There are various business investment opportunities available in both government and private sector according to risk, return, taxation, duration, etc.

Various Investment options in India

Short Term Investments options:
Bank Fixed Deposits: FD is the opportunity for retirees to diversify their investment portfolio. It is a very safe investment option in India as it generates stable income. It has low risk appetite. The period of ideal investment is 6-12 months.
Money Market Funds: They offer better returns than savings account without compromising on liquidity. The primary objective is to protect one’s capital and maximize returns.
National Saving Certificate (NSC): It is backed by the government of India, so it is a safe investment method. Minimum amount is Rs.100 and there is no upper limit.

Long Term Investment options:
Gold: Investors generally buy gold as a hedge or safe haven against any economic, political or social crises. Gold is not the right option for investment in short run because it doesn’t pay any return or interest. But, in the long run, investing in gold is no doubt, a profitable option as it can be quickly converted to cash.
Real Estate: In India, real estate has become one of most successful business investment opportunity in the last few decades. It has huge prospects in sectors like commercial, housing, hospitality, retail, manufacturing, healthcare etc.
Investment in Stock: Stocks are shares of a company. When you invest in a company’s stock or buy its shares, you own a part of a company. It is the major investment option in India in long run.
Public Provident Fund (PPF): This includes fixed-income investment for high tax payers with low risk.
Mutual Funds: Investing in mutual funds is also subject to market risks but the return is good.
Life insurance policies, bonds, debentures, etc.

Investment options depending upon goal:

  • Investment for safety – money market mutual funds, bank deposits, etc.
  • Investment for income – company deposits, government securities, treasury, preferred stocks, etc.
  • Investment for growth – equity mutual funds, domestic and overseas stocks, etc.
  • Investment to fight inflation – gold, real estate, bonds, etc.

Investment from Tax Perspective:

One can minimize the tax liability on salaries by investing in eligible investments qualifying under Sec 80C. It includes investment in PF contribution, PPF investments, infrastructure bonds, mutual funds, life insurance premium, repayment of housing loan principle, PO deposits, etc.

So, there are innumerable investment opportunities available in India. All, one needs to check is, his interest, risk appetite, and investment tenure.

May 8, 2012

Indian Economy – A Basket of Business Opportunities

The population of India is estimated at over 1 billion, and continues to grow every year. The Indian economy is the fourth largest economy of the world, when we talk in terms of Purchasing Power Parity (PPP). The economic reforms initiated since 1991, have been providing an investor-friendly environment through a liberalized policy framework spanning the whole economy. These reforms have helped India in becoming more prominent in undertaking importing and exporting activities, and other such forms of overseas businesses.

More than 10 per cent of the employed population works in industrial fields, and these include manufacturing and production of textiles. Process outsourcing is another business in India in which economy has grown drastically over the years. Residents of India are fluent in English, they have good communication skills for doing customer service, they are conversant in tech support, and other similar service industries, so the Business Process Outsourcing (BPO) segment has good scope in India. In fact, out of the top fifteen outsourcing companies across the globe, seven of the large firms are located in India.

India also produces a good amount of agricultural products, along with development in segments such as logging, fishing, and forestry. Investment is increasing as banks have become more stable and secure, which was also part of the economic reform. India’s growth rate is approximately 7% on an average, and has greatly reduced the amount of poverty among its residents over the years. The constant growth of main industries has given more individuals the opportunity to have stable employment.

India is one of the most sought after destination for business and investment opportunities. The reasons behind this are:-

  • Extensive manpower base
  • Diversified natural resources, and
  • Strong macro-economic fundamentals

Over the last ten years, the Indian Economy has seen a paradigm shift and is on a robust growth trajectory. The Indian economy today claims of an increasing annual growth rate, deep capital markets and liberalized foreign direct investment (FDI) regime. India is one of the few economies to have withstood the recent global financial crisis and its gross domestic product (GDP) has been constantly growing in excess of 8 per cent per year. The country’s GDP has been growing at an average rate of 8.6 per cent for the last five years. India’s GDP growth projection is 8.5 per cent for FY11.

India’s economy has strong fundamentals and is host to several prominent global corporate giants that are leaders in their respective fields. According to the Global Competitiveness report 2010-11, India ranks 51st among 139 countries. India ranks higher than many countries in key parameters such as market size (4th) and innovation (39th). It also has a sound financial market (17th).

According to UNCTAD’s World Investment Prospects Survey 2010-2012, India is the second-most lucrative destination for FDI in the world. Indian markets have significant potential and offers prospects of high profitability and a favorable regulatory regime for investors.

April 13, 2012

The Opportunities and Outcomes of NRI Investments in India

While analyzing the structure of NRIs investment in India, first you must know in depth about FDI or foreign direct investment. Soon, you may have your organization or company in India and you might be expecting an international intervention which can surely help your company grow with years. In this case you would be appositely provided with expertise, funds and foreign money so that you can well channelize you efforts and move one step nearer towards an empirical set up. There has been much scope for FDI in India and the genre is intensifying with time. Foreign investors too are trying to make the best use of Indian intellect to make more out of the money that they are investing.

Though the scope is huge but India’s attitude in matters of foreign direct investment has not been so encouraging. You can witness hundred percent FDI influence only in case of individual retailing. Most Indian entrepreneurs are of the opinion that an FDI plan is quite ruining for Indian economy and that they would in no way be apt for a domestic economic plan. Supremacy of multi-branded retailers would mean an end to small retailers and manufacturers. They are of the opinion that a strict entry for multi branded retailers would mean loss of employment for a major section of the population. This is no way encouraging for NRIs investment in India.

However, the encouraging part about the FDI in India is that there is a section of the population who believe that if a country allows the FDI concept it would be economically beneficial for the country itself. In the process, the foreign fiscal intervention would surely allow you to have a high standard of living and the country would really stand stalwart with prefect infrastructural facilities. The greatest positive implication of FDI is that it allows a quick flow of cash. Following the way you can earn more amount of money in the least amount of time.

After all FDI in India is not a threat. There is a section of the population who feel that with apposite FDI intervention the farmers would get more money for the products which they are selling directly to the retailers. Most of the time, the mediators keep a huge part of the money for themselves, and they make the farmers suffer in the process. FDI brings the end of the sufferings and once India starts outsourcing and becomes an FDI figure itself things would really seem to improve.

There are several reasons why people would want to invest in India. Cheap resource and a strong operational unit have always kept India at the front seat in matters of ushering more foreign investments. Thus, foreign companies have always opened up in India and they are making huge amount of money through an effective production process. These foreign companies are always in look out for making the most of all the better opportunities that come on the way.

When speaking about NRIs investment in India, you must know that there are two types of FDIs. One is the inward FDI and the other one is the outward FDI. When you are investing money after a second country it is outward FDI and when you are accepting investments from a third party it can be better denoted as inward FDI.

However, while having a synopsis you can say that investments both directly and indirectly can be beneficial if you are following the rules correctly.

Next Page »

Blog at WordPress.com.