UAE India's Fourth Largest Investor In FY22

During the fiscal year 2022–2023 (FY23), India's fourth largest investor was the United Arab Emirates (UAE). According to data from the department for the promotion of industry and internal trade (DPIIT), the amount of foreign direct investment (FDI) from there to India increased by more than three times to $3.35 billion in that fiscal from $1.03 billion the year before.

With investments totaling $17.2 billion in FY23, Singapore was India's top investor, followed by Mauritius ($6.1 billion) and the United States ($6 billion).

Numerous business analysts attribute the main reason for this to the May 2016 entry into force of India's comprehensive free trade agreement with the UAE.

In addition, the Gulf country, which was India's seventh-largest investor in FY22, has agreed to invest $75 billion in the country's infrastructure over time and collaborate with it on renewable energy projects, according to a news agency.

UAE investments in India are mostly concentrated in the service, maritime, energy, and construction industries.

About 2.5% ($15.6 billion) of the total FDI that India received between April 2000 and March 2023 comes from this nation.