India's FDI drops 98% in May: What's the impact
India's foreign direct investment (FDI) took a massive hit this May, dropping 98% to just $40 million compared to $2.2 billion last year.
The main reasons? More money is being sent back overseas and investors are playing it safe.
To turn things around, the finance ministry and DPIIT have teamed up on a new initiative aimed at bringing back investor confidence and keeping much-needed capital flowing into the country.
Why this matters
This sharp dip in FDI could impact jobs, growth, and opportunities for young people—especially since big players like Singapore, Mauritius, UAE, and the US have been key supporters of India's manufacturing sector.
The government's quick response shows they're serious about making India attractive for global investors again—something that matters for anyone hoping to see more innovation and economic stability at home.