FDI inflow from China declines as relations get tense

New Delhi(DL), September 15 : The tense relations between India(In) & China has affected the investment of Chinese businesses as the foreign direct investment (FDI) of Chinese businesses in India(In) has declined significantly within the last 3 yrs., Minister of State for Finance Anurag Thakur stated in a reply to a query within the Lok Sabha.

Thakur on Mon. stated, FDI from China within the last 3 yrs. with FDI coming down to US $163.77 mln in 2019-20 from US $350 mln in 2017-18.

Lok Sabha MPs AKP Chinaraj & S. Jagathrakshakan inquired the Finance Minister regarding the overall investment of Chinese businesses in different areas in India(In) during this last 3 yrs.. In reaction to this query, Minister of State for Finance Anurag Thakur revealed the information of FDI of Chinese businesses within the last 3 fiscal yrs..

He informed the Parliament that the overall FDI inflow from Chinese businesses in India(In) in 2017-18 has been US $350.22 mln, awhile it declined to US $229 mln in 2018-19 & furthermore declined to US $163.77 mln in 2019-20.

Thakur refused regarding any intentions of not allowing any Chinese company to invest in India(In). To control opportunistic takeovers (or) acquisitions of Indian businesses because of the current COVID-19 epidemic, the govt released Press Note Three previously this yr., he stated.

A non-resident entity could invest in India(In) within the FDI policy except those regions & operations that are prohibited, he stated referring Press Note 3.