Maharashtra and Karnataka Lead as India's Top FDI Destinations in 2024–25

Maharashtra and Karnataka have emerged as the top destinations for foreign investment in India, together drawing more than half of the country’s total Foreign Direct Investment (FDI) in the financial year 2024–25. According to the latest data released by the Department for Promotion of Industry and Internal Trade (DPIIT), India saw a 14% rise in FDI, reaching $81.04 billion, up from $71.3 billion in the previous year. This marks the highest FDI inflow in the last three years.

Maharashtra led the way with $19.6 billion in FDI, accounting for 31% of the national total between April 2024 and March 2025. Karnataka followed with $6.62 billion. Together, these two states attracted 51% of India’s overall FDI. Experts believe that the strong performance of these states is due to better infrastructure, stable policies, and a growing focus on ease of doing business.

Other major states receiving FDI include Delhi with $6 billion, Gujarat with $5.71 billion, Tamil Nadu with $3.68 billion, Haryana with $3.14 billion, and Telangana with $3 billion.

An economist, speaking to news agency PTI, said that India is becoming a more attractive place for foreign investors mainly because of the significant improvements in infrastructure and state-level reforms. Sectors such as IT, manufacturing, and green energy are also pulling in global investors.

The increase in FDI is seen as a positive sign for the Indian economy. It not only brings in capital but also helps generate jobs, boost exports, and improve overall growth. With more supportive policies and continued development, India hopes to keep this momentum going in the coming years.