Which of the following statements is/are correct with reference to the Foreign Direct Investment (FDI)?

Which of the following statements is/are correct with reference to the Foreign Direct Investment (FDI)?

A. India has attracted highest ever total FDI inflow of US$ 81.72 billion during the financial year 2020-21.

B. The Foreign Direct Investment plays a major role in developing countries like India.

C. Both A & B

D. None of these

Explanation:

Foreign Direct Investment plays a major role in developing countries like India. The FDI into the country grew 19 per cent to USD 59.64 billion during 2020-21 on account of measures taken by the government on the fronts of policy reforms. Total FDI, including equity, re-invested earnings and capital, rose 10 per cent to the “highest ever” of USD 81.72 billion during 2020-21 as against USD 74.39 billion in 2019-20.