Business · Trade · 6 hrs ago
India drew $351 billion in greenfield FDI from 2021 to 2025
India attracted $351 billion in greenfield foreign direct investment between 2021 and 2025, according to Boston Consulting Group data.
Greenfield investment funds new projects, rather than buying existing businesses.
India’s total was more than double China’s $159 billion, while India’s investment rose 61% from the previous five-year period and China’s fell 54%.
Companies are shifting supply chains amid geopolitical uncertainty and looking to source from more than one country.
This change has also directed investment towards Southeast Asian countries, including Malaysia and Indonesia, though investment fell in Vietnam and the Philippines.
For India to attract more projects, a BCG executive said it needs to develop infrastructure, train workers, remain cost-competitive and support local demand.
These factors could help India expand its manufacturing role as companies seek alternatives to relying on a single source.
India attracted $351 billion in greenfield foreign direct investment from 2021 to 2025, according to Boston Consulting Group data.
The amount was more than double China’s $159 billion over the same period.
India’s total rose 61% from $222 billion in the previous five years.
BCG said investor concerns about China and changes to global supply chains are directing capital towards India and other Southeast Asian markets.
A BCG executive said India needs continued investment in infrastructure, workforce skills and cost competitiveness to expand its manufacturing footprint.
- Who
- India attracted the investment, according to Boston Consulting Group data.
- What
- India received $351 billion in greenfield foreign direct investment from 2021 to 2025.
- When
- 2021 to 2025.
- Where
- India.
- Why
- Investor concerns about China and multinational companies’ supply-chain realignment are steering investment towards India and other Southeast Asian markets.
This story does not have two clearly opposing sides.
India attracted $351 billion in greenfield FDI, according to BCG data.
India received $222 billion in greenfield FDI.
- India, 2021-25
- $351 billion in greenfield FDI
- China, 2021-25
- $159 billion in greenfield FDI
- India, previous five years
- $222 billion in greenfield FDI
- India's increase
- 61% from the previous five years
What people are saying
So, from that perspective, I think India has a role to play because the industry is looking for alternative sources than the one source they used to have
If you don't have adequate people being able to handle stamping, painting, assembly, mechatronics, and things like this, you will always struggle to localise
Sources
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