Foreign investment rises 18% year-on-year; Karnataka surpasses major states with ₹80,997 crore inflow.
India has witnessed a major boost in foreign investment in the first half of the current financial year, with ₹3.15 lakh crore (USD 35.18 billion) in Foreign Direct Investment (FDI) flowing into the country from April to September 2025. The inflow marks a significant 18% rise compared to the same period in the previous financial year, indicating sustained global investor confidence.
Among all states, Karnataka has emerged as the second-largest recipient of FDI, surpassing several major industrial regions. The state attracted USD 9.4 billion, which amounts to ₹80,997 crore, setting a new record in its investment performance. Only Maharashtra registered a higher inflow with USD 10.57 billion (₹91,337 crore).
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Karnataka outperformed Tamil Nadu, Gujarat and Delhi, strengthening its position as one of India’s leading investment destinations. The rising influx is expected to create substantial employment opportunities, speed up industrial expansion and contribute directly to the state’s economic progress.
Economists note that steady foreign investment plays a crucial role in boosting the manufacturing ecosystem, advancing technology, and supporting the overall development of the state economy. With more capital entering sectors such as IT, electronics, advanced manufacturing and services, Karnataka is likely to benefit from increased job creation and stronger growth momentum in the coming years.
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The central figures also highlight India’s broader economic resilience. The sharp year-on-year rise in national FDI inflows signals expanding market potential and increasing trust from global businesses looking to invest in India’s long-term growth story.