Industry Odisha Bureau, Aug 27: India attracted $30.7 billion in gross foreign direct investment during April-June 2026 quarter. This marked the highest quarterly inflow recorded in at least fifteen years globally. The Reserve Bank of India released the data, reflecting continued global investor interest. Net FDI for the quarter reached $7.8 billion, strongest performance since June 2022.
Gross FDI inflows measure investment entering India, while net FDI reflects adjusted total. Distinguishing between the two provides clearer insight into foreign investment flow dynamics substantially. Gross inflows of $30.7 billion were nearly forty-six percent higher than March 2026. Compared with the June 2025 quarter, the inflow was approximately fifteen percent higher.
June 2026 saw gross FDI inflows of $9.3 billion, exceeding May significantly. June inflows represented a fifty-three percent monthly increase compared to the May period. However, they remained slightly below the $9.6 billion recorded in June 2025. June FDI outflows stood at $7.9 billion, resulting in positive net FDI flow.
June net FDI inflows exceeded outflows by $1.3 billion during that month. A longer-term trend shows improving momentum in the balance between inflows and outflows. Net FDI was negative in six of the previous twelve months overall. However, it turned negative in only one of the most recent six months. This pattern suggests foreign investment is increasingly outpacing outflows on consistent basis.
Manufacturing received the highest share of foreign investment inflows during reporting quarter. Manufacturing investment can support productive capacity, industrial activity and technology adoption domestically. Electricity generation followed manufacturing as another major recipient of foreign investment flows. This sector reflects investor interest in energy infrastructure and industrial capacity development. Computer and communication services also attracted significant foreign investment during the quarter. These sectors demonstrate investor confidence across both manufacturing and technology-linked economy parts.
Singapore, the Netherlands, the United States and Canada accounted for seventy-four percent. This concentration reflects the importance of several major international investment corridors for India. Quarterly outflows reached $22.8 billion, while repatriation by foreign companies rose to $5.8 billion. Outward FDI by Indian companies declined to $2.1 billion during June period.
Strong FDI inflows can support India’s productive economy, capital formation and integration. The latest data indicates that manufacturing and electricity generation remain priority sectors. Sustained FDI flows will depend on India’s ability to maintain competitive environment. Quality and sustainability of investment remain important beyond the gross inflow figures.
