Regional Imbalances in Foreign Direct Investment Inflow in India with Special Reference to Rajasthan State

Abstract

FDI inflow is considered as a growth engine for the host economy, it has positive spillovers on the various macro-economic indicators of the economy. In recent years, there has a tough competition in inter-country and intra-country regions to attract more and more FDI inflow. In the case of India, as the eighth favourite destination of global FDI inflows, FDI has grown about newline20-fold in the last two decades. However, these inflows are concentrated in a few states, which leads to a regional imbalance scenario. This study explores the trends of FDI inflows from 2004 05 to 2022-23 in leading states (Maharashtra, Karnataka and Gujarat) and one laggard state (Rajasthan) in terms of receiving FDI inflow. Chiefly, this study provides in-depth insights into newlinetrends and patterns of FDI inflows in Rajasthan State. Further, this study investigates macroeconomic determinants of FDI inflow in selected states. newline