Last Updated:
Maharashtra and Karnataka together account for 51% of India’s total FDI inflows in FY 2024-25, according to DPIIT data.
FDI in India.
Karnataka has emerged as the top state in foreign direct investment, attracting a staggering Rs 50,107 crore, said Chief Minister Siddaramaiah. He also said the milestone reflects the trust and confidence of global investors.
“Karnataka has emerged as the No.1 state in Foreign Direct Investment, attracting ₹50,107 crore and surpassing Maharashtra after several years. This milestone reflects the trust and confidence of global investors in Karnataka, made possible by our government’s policies that have created a truly investment-friendly environment,” Siddaramaiah said in a post on X.
Karnataka has emerged as the No.1 state in Foreign Direct Investment, attracting ₹50,107 crore and surpassing Maharashtra after several years.This milestone reflects the trust and confidence of global investors in Karnataka, made possible by our government’s policies that have… pic.twitter.com/96OqMYTkQn
— Siddaramaiah (@siddaramaiah) September 4, 2025
According to the Department for Promotion of Industry and Internal Trade (DPIIT), Maharashtra and Karnataka together accounted for 51% of India’s total FDI inflows in FY 2024-25, with Karnataka receiving $6.62 billion (approximately Rs 50,000 crore) compared to Maharashtra’s $19.6 billion.
Analysts attribute Karnataka’s strength in attracting FDI to its status as a technology and innovation hub — Bengaluru, often called India’s Silicon Valley, houses over 400 Fortune 500 R&D centers and dominates national software exports.
According to a report by the MSME Export Promotion Council, Karnataka secured over Rs 12 lakh crore in new investments between FY 2021-22 and 2024-25 across various sectors, reinforcing its reputation as a favoured investment destination.
FDI In India
According to the finance ministry’s monthly economic review June 2025, “Early data from FY26 indicate the potential for a turnaround in foreign investment flows. flows. Gross FDI inflows grew by 5 per cent (YoY) in April-May FY26 and stood at $15.9 billion.”
It added that India achieved a capital and financial account surplus of $21.7 billion in FY25 on account of higher NRI deposits ($16.2 billion) and external commercial borrowings ($18.4 billion). However, during FY25, both net foreign direct investment (FDI) and net foreign portfolio investment (FPI) inflows declined vis-à-vis FY24, primarily influenced by cautious global investment trends shaped by geopolitical tensions and tighter financial conditions worldwide.
Haris is Deputy News Editor (Business) at news18.com. He writes on various issues related to personal finance, markets, economy and companies. Having over a decade of experience in financial journalism, Haris h…Read More
Haris is Deputy News Editor (Business) at news18.com. He writes on various issues related to personal finance, markets, economy and companies. Having over a decade of experience in financial journalism, Haris h… Read More
September 05, 2025, 18:27 IST
Read More
