June FDI snippets

India has attracted foreign direct investment (FDI) worth $2.58 billion in June this year, an 8% increase over the same month last year, said department of industrial policy and promotion (DIPP) secretary Ajay Shankar. A part of the commerce ministry, DIPP collates data related to FDI in the country. The rise in FDI in June comes along with robust growth in index of industrial production that rose 7.8%, fuelling hopes of a strong revival in the industrial sector. Higher FDI in June also comes as a reversal in trend after the first two months of the fiscal reported 40% drop in total inflow in the country to $4.54 billion. FDI inflow in May 2009 was $2.2 billion, as compared with $3.9 billion in same month last year and April reported FDI worth $2.34 billion as compared with $3.74 billion in the year-ago period. Due to sharp drop in FDI in the first two months, the total foreign investment inflows during the April-June quarter has contracted 30% to $7.02 billion, as compared with $10.07 billion in the corresponding period last year.