Net FDI Fall of 98.2% in May 2025 Reported by RBI
Why in the news
The RBI’s July 2025 bulletin showed net foreign direct investment in May 2025 collapsing by 98.2% compared with May a year earlier.
Key facts
- Net FDI = gross FDI inflows minus gross FDI outflows over a period.
- Gross inflows cover equity capital, reinvested earnings and other long-term capital.
- Gross outflows are investments made abroad by domestic entities.
| Category | Leading names |
|---|---|
| Source countries | Singapore, Mauritius, UAE, US (over 75% of inflows) |
| Recipient sectors | Manufacturing, financial services, computer services |
| Outward FDI destinations | Mauritius, US, UAE |
Exam angle
- Publication: RBI bulletin (July 2025); decline: 98.2%.
- Formula: net FDI = inflows – outflows.