Overseas investments by Indian cos dip $1bn in ’18

Wednesday 20th February 2019 05:12 EST

According to data from the RBI, overseas investments by Indian for 2018 stood at $11 billion, compared to $12 billion in 2017. For the same period, the “number of Indian parties investing overseas” stood at 3,641 and 3,759 respectively. The data includes outflow in equity, loan and guarantees invoked, and in 2016, 3,510 Indian parties had invested $13.2 billion, which means that the dip in 2017 was more than $1 billion. Company-wise details of investments are not maintained.

Economist Prof Charan Singh, CEO, e-GROW, said, “The reasons for the dip that come to mind immediately is that the overall income level in our economy and country has dipped in the last few years, also, there are now more opportunities to invest within India.” Experts also pointed to a host of global factors, including volatile currencies and political uncertainties as reasons for retarded investments. Madan Sabnavis, chief economist, CARE Ratings, said, “Most of the ventures overseas have had mixed results. Global economy hasn't picked up, US seems slightly better, but not confident of growth being sustained. So, it looks like western economies aren't providing the same kind of options as domestic, although our economy has its own problems.”

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