RBI annual report data show foreign direct investment flows recovering after a sharp two-year collapse that left net inflows near $1 billion in FY25.
India’s net FDI (foreign direct investment) rose to $7.7 billion in FY26, according to the RBI annual report, after falling from $28 billion in FY23 to $1 billion in FY25. The figures point to a sharp two-year contraction in net inflows followed by a partial recovery. Net FDI measures the balance of direct investment coming into a country after accounting for outbound flows and repatriation, making it a closely watched gauge of foreign investor commitment to the economy.