International Journal of Social Science & Economic Research
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Title:
The Role of FDI in India's Manufacturing Sector: Growth, Challenges, and Opportunities

Authors:
Jaiditya Malik

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Jaiditya Malik
Student, Dubai International Academy

MLA 8
Malik, Jaiditya. "The Role of FDI in India's Manufacturing Sector: Growth, Challenges, and Opportunities." Int. j. of Social Science and Economic Research, vol. 9, no. 9, Sept. 2024, pp. 3342-3452, doi.org/10.46609/IJSSER.2024.v09i09.016. Accessed Sept. 2024.
APA 6
Malik, J. (2024, September). The Role of FDI in India's Manufacturing Sector: Growth, Challenges, and Opportunities. Int. j. of Social Science and Economic Research, 9(9), 3342-3452. Retrieved from https://doi.org/10.46609/IJSSER.2024.v09i09.016
Chicago
Malik, Jaiditya. "The Role of FDI in India's Manufacturing Sector: Growth, Challenges, and Opportunities." Int. j. of Social Science and Economic Research 9, no. 9 (September 2024), 3342-3452. Accessed September, 2024. https://doi.org/10.46609/IJSSER.2024.v09i09.016.

References

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ABSTRACT:
This research paper explores the pivotal role of Foreign Direct Investment (FDI) in the growth and transformation of India's manufacturing sector, with a focus on recent trends, challenges, and future opportunities. It highlights the positive impact of FDI facilitated by government policies, including the "Make in India" initiative, which aims to boost the country's manufacturing capabilities and position it as a global hub. The study underscores the significant contributions of FDI to enhancing production capacity, technological advancements, and job creation. However, it also identifies key challenges, such as regulatory hurdles and inadequate infrastructure, that continue to limit the sector's full potential. In the context of recent global economic shifts, including the impacts of the COVID-19 pandemic and evolving trade policies, the paper examines how these factors influence FDI inflows and the strategic positioning of India's manufacturing industry. According to recent data from the Reserve Bank of India, FDI inflows into the manufacturing sector increased by 15% in the fiscal year 2021-2022, reflecting the sector's resilience and continued attractiveness.1 The paper concludes with recommendations for policy reforms aimed at creating a more conducive environment for FDI, essential for the sustained growth and competitiveness of India's manufacturing sector.

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