Lok Sabha Question No. 305 (UNSTARRED), answered on 2019-06-24
Subject: Investment Policy
Ministry: FINANCE
Asked by: Pushpendra Singh Chandel

## GOVERNMENT OF INDIA MINISTRY OF FINANCE DEPARTMENT OF ECONOMIC AFFAIRS

## LOK SABHA UNSTARRED QUESTION NO. 305

TO BE ANSWERED ON MONDAY, JUNE 24, 2019 / ASHADHA 3, 1941 (SAKA)

## Investment Policy

## 305: SHRI KUNWAR PUSHPENDRA SINGH CHANDEL:

Will the Minister of FINANCE be pleased to state:

- (a) whether the Government has proposed to take new steps to improve investment policy;
- (b) if so, the details thereof;
- (c) the details of the investment made in the country during the last five years;
- (d) whether  the  Government  has  taken  any  special  steps  for  enhancing  investment  in  economically backward areas especially in Bundelkhand; and
- (e) if so, the details thereof?

## ANSWER

## MINISTER OF FINANCE

## (SMT. NIRMALA SITHARAMAN)

(a) to (e): The government is constantly taking various initiatives to boost investment in the economy, including  economically  backward  area,  which,  inter-alia,  include;  measures  to  improve  ease  of  doing business, comprehensive reforms in the Foreign Direct Investment policy, various facilitation measures under flagship programmes like Make-in-India, Start-up India, reduced corporate tax rate of 25 per cent for companies with turnover up to Rs. 250 crore, launch of a support and outreach program for helping the  growth,  expansion  and  facilitation  of  Micro,  Small  and  Medium  Enterprises  sector  etc.  Further, various steps relating to developing instruments and institutions to attract investment into infrastructure; mainstreaming  Infrastructure  Investment  Trusts  (InvITs)/  Real  Estate  Investment  Trusts  (REITs); periodic  review  of  the  Harmonized  Master  List  of  Infrastructure  Sub-sectors,  have  also  been  taken. Activation of the National Investment & Infrastructure Fund (NIIF) has also led to greater availability of capital for investment in the infrastructure sector. A statement indicating details on FDI, FPI and Gross Capital Formation for the last five years is at Annexure-I .

For enhancing investment in the Bundelkhand region, action for setting-up of a Defence Industrial Corridor, as announced in Budget 2018, has been initiated. For this, six nodal points in the cities of Agra, Aligarh, Chitrakoot, Jhansi, Kanpur and Lucknow have been identified.

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## Statement referred to in reply to part (c) of Lok Sabha Unstarred Question No. 305 for 24.06.2019

## Detail on FDI and FPI for the last five financial years:

## Amount in USD Million

| Period   | FDI inflows   | FPI inflows (net)   |
|----------|---------------|---------------------|
| 2014-15  | 29,737        | 40,923              |
| 2015-16  | 40,001        | -3,516              |
| 2016-17  | 43,478        | 7,735               |
| 2017-18  | 44,857        | 22,165              |
| 2018-19  | 44,366        | -3,587              |

## Gross Capital Formation (GCF)*

(in  Rs. crores)

|                        | 2013-14   | 2014-15   | 2015-16   | 2016-17   | 2017-18   |
|------------------------|-----------|-----------|-----------|-----------|-----------|
| **GCF (current prices) | 36,60,242 | 40,63,090 | 42,19,569 | 44,74,728 | 50,70,703 |
| **GCF (2011-12 prices) | 33,24,682 | 35,52,847 | 37,31,740 | 39,07,865 | 42,86,989 |

**Excludes Valuables