Published Paper Details:

India embarked on the path of liberalization in mid 1980s, and balance of payments crisis of 1991 forced India to liberalise Indian economy and allow Foreign Direct Investment (FDI). While India is attracting FDI increasingly over the years, the flows of FDI have been concentrated to only few states of India. Around 70% of FDI inflows go to five major states of Maharashtra, Delhi, Gujarat, Andhra Pradesh and Karnataka that is, western south India. This concentration of financial flows has grave implications for balanced regional growth and development of India. Given this, this paper throws light on the FDI inflows spatial and sectoral patterns and concentration. First it looks into the existing literature on the location choice of the FDI flows. Then it goes onto studying the spatial trends in FDI flows, that it, what all states are attracting maximum FDI flows over the years. After that , it sees the sectors which have attracted the FDI the most. And finally the paper includes a regression analysis on the factors that are affecting FDI flows concentration in the areas.