Japan has maintained its position as India's fifth-largest source of foreign direct investment (FDI), with cumulative investments reaching $42.55 billion from April 2000 to March 2024. This accounts for 6.1% of total FDI inflows into India. Recent data shows Japanese FDI in India has been increasing, with investments of $3.17 billion in FY 2023-24 and $6.28 billion in the first quarter of FY 2024-25. Key sectors attracting Japanese investment include automobiles, electrical equipment, machinery, chemicals, and financial services. The India-Japan Fund, launched in October 2023 with a $600 million corpus, aims to boost investments in environmental sustainability and low-carbon emission projects.
Source: Embassy of India, Tokyo