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More than half of foreign direct investors plan expansion: FICCI

More than half of the foreign direct investors already present in India plan to expand operations whereas about one-third want to maintain their current investment levels and nine per cent want to decrease Indian exposure, as per a Federation of Indian Chambers of Commerce and Industry study.

As per the study titled 'The experience of foreign direct investments in India', 56 per cent of foreign investors already present in India plan to expand their presence in India, 35 per cent want to maintain the size of their operations and only nine per cent want to reduce exposure to the Indian market.

Also, devising the 'right' policy initiatives comes across as the most critical factor likely to affect future FDI inflow into the country, as per the study

An overwhelming 87 per cent of the respondents felt right policy initiatives are of paramount importance, followed by political stability at 68 per cent and market growth at 63 per cent.

While ground-level hassles (58 per cent) also carry substantial weight in determining future FDI inflows, only 39 per cent of the respondents felt that Manpower Availability was of vital consequence.

The survey covered over 2000 companies - including all major foreign direct investors operating in India - and 400 respondents.

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