After registering a huge jump for two consecutive months, India’s foreign direct investment declined 38 per cent year-on-year in July to $1.09 billion, an official said.
In July 2010, the country attracted FDI worth $1.78 billion.
In June, the inflows saw an annualised increase of 310 per cent to a 11-year monthly record of $5.65 billion. In May too, inflows touched $4.66 billion showing an impressive 111 per cent over the same month last year.
For April-July, FDI went up 92 per cent to $14.54 billion from $7.56 billion in the corresponding period last year as inflows were robust in the initial months, the official told PTI.
For the first six months of the 2011 calendar as well, FDI showed an increase of 57 per cent to $16.83 billion.
Despite uncertainties in the global economy, FDI may touch $35 billion in 2011-12 against $19.4 billion in the last fiscal on account of major deals such as RIL-BP and Posco, sources said.
In the previous fiscal, equity inflows through the FDI route dipped 25 per cent to $19.43 billion from $25.6 billion in 2009-10. In 2008-09, FDI stood at $27.3 billion.
Mauritius, Singapore, the US, the UK, the Netherlands, Japan, Germany and the UAE are major sources of FDI.
During the period, the sectors that attracted the maximum FDI include services, construction activities, power, computers and hardware, telecommunications and housing and real estate.