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Modi govt destroyed domestic investment, nearly annihilated FDI: Congress

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12th April, 2025 08:14 IST

The on Friday, 11 April, accused the Centre of destroying domestic investment and causing a "near annihilation" of foreign direct investment through its practice of "another type of FDI — Fear, Deceit and Intimidation".

The ruling BJP dismissed the charge as "misleading" and accused the Opposition party of being out of touch with today's India.

In a post on X, general secretary (communications) Jairam Ramesh said the net FDI in India from April to January 2024–25 was under USD 1.4 billion, as against USD 19 billion from April to January 2012–13, when the Congress-led United Progressive Alliance (UPA) was in power.

The Narendra Modi government's destruction of domestic investment (DI) has been accompanied by a near-annihilation of foreign direct investment through its practice of another type of FDI — fear, deceit and intimidation — Ramesh alleged.

During April–January 2012–13, the net FDI in India was USD 19 billion; during April–January 2024–25, the net FDI was under USD 1.4 billion, he said.

The former Union minister claimed that the Modi government achieved this ‘distinction’ even before US president assumed office in January 2025.

During Joe Biden's US presidency, companies across the world were scrambling to invest in Asian countries, excluding China, said Ramesh, adding that Vietnam, Indonesia and while India languished.

The BJP's IT cell head Amit Malviya countered the Congress leader, saying, "Jairam Ramesh's selective use of FDI data is not only misleading but exposes Congress's desperation to fabricate economic failure where none exists."

"Let's correct the record — with facts, not fiction. He highlights a brief dip in FDI, ignoring the Congress-led 's dismal record.

"Under UPA-I, annual FDI averaged just USD 18.2 billion, and even during UPA-II's peak, it only touched USD 38.4 billion.

"FDI as a share of GDP fell from 2.7 per cent to a meagre 1.7 per cent — a direct result of policy paralysis, corruption scandals, and a hostile business climate," he said in a post on X.

In contrast, Malviya said, "The Modi government has redefined India's FDI landscape: USD 709.84 billion in FDI (2014-2024) — nearly 70 per cent of all FDI since 2000.

"69 per cent rise in manufacturing FDI: from USD 98B (2004-14) to USD 165B (2014-24). 45 per cent spike in FDI within NDA's first year. Record FDI of USD 60.08B in 2016-17. USD 71.28B FDI in 2023-24."

He said that even in 2024, despite global headwinds, the FDI during January–September surged 42 per cent YoY (year-on-year) to USD 42.13 billion and H1 FY25 alone saw a 26 per cent increase.

"The 'dip' Mr Ramesh refers to is a global phenomenon, not a failure of India's fundamentals," Malviya claimed, adding that India's resilience stands out, driven by Prime Minister Modi's decisive leadership, as it jumped to the 40th spot in both the World Competitiveness Index 2024 and the Global Innovation Index (from the 81st position in 2015).

"Sadly, Congress seems to cheer perceived economic setbacks, even if they harm national interest. Their delight over temporary fluctuations shows their priority is politics — not progress.

"The fact is, India is thriving. The Modi government has built a stable, investor-friendly economy — unlike the UPA's legacy of missed opportunities and scandals. Jairam should check his facts. His narrative doesn't just mislead — it reflects how out of touch Congress is with today's India," Malviya said.

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