In India the ministry of commerce has declared eight sectors as ‘core industries’. The core industries are 1) Crude Oil, 2) Petroleum Refinery Products, 3) Coal, 4) Electricity, 5) Cement, 6) Steel, 7) Fertilizers & 8) Natural Gas.
These core 8 industries contribute more than 35% to the index of Industrial Production (IIP). In recent times we have seen that IIP index has almost come to a standstill, it means that these eight core industries has not fared well in recent quarter. But this is also a fact that this slump in India is only temporary and very soon Indian Economy will revive. India’s fundamental are so strong that it is almost impossible to keep India tied down for so long. The middle class earning is growing simultaneously increasing its purchasing powers. Demand driven growth can never be tied with superficial shackles.
Indian plans to increase its infrastructure investment to $1.025 trillion by year 2017. At present in 2012, investment in infrastructure is less than half of this value. So in five years there is tremendous growth possibilities in Infrastructure.
According to a reputed investment banking firm Goldman Sachs, in next 10 years (2022), India should invest more than $1.7 trillion in infrastructure to keep pace with the growing industrial growth. According to McKinsey, further to 2022, India will further need $1.2 trillion in next 8 years (by 2030) to match the growing demand of Metropolitan and other upcoming cities in India. There is very little doubt investment opportunities in India is only increasing day after day. The prospects of India, in terms of its investment opportunities, in next 15-20 years is immense. This is the reason why Foreign Institutional Investors (FII’s) are Investing so heavily in India.
Indian government has allow Foreign Direct Investment (FDI) up to 100% for oil exploration and finding natural gas fields. The mood of Foreign Institutional Investors towards India has always been upbeat, India just needs to give them that extra push by changing its bureaucratic policies.
Here are list of Top 100 companies where Foreign Institutional Investors are investing heavily in India:
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