Maharashtra Secures Top Spot in FDI with INR 36 Crores

Maharashtra has emerged as the top destination for foreign direct investment (FDI) in the Q1 (first quarter) of the fiscal year 2023–24, as reported by the Department for Promotion of Industry and Internal Trade (DPIIT). Under Chief Minister Eknath Shinde, the state garnered an impressive INR 36,634 crore in FDI between April and June.

Deputy Chief Minister Devendra Fadnavis commended Chief Minister Shinde's leadership in a tweet. This marks a significant increase compared to the previous fiscal year. "Under the leadership of chief minister Eknath Shinde ji, our government is moving ahead at a fast pace, and Maharashtra has become the favourite destination for investors! Deputy CM shared in a tweet along with the DPIIT statement.

आनंदाची बातमी !
2022-23 या आर्थिक वर्षांत ₹1,18,422 कोटींची प्रत्यक्ष विदेशी गुंतवणूक आकर्षित करुन पहिल्या क्रमांकावर असलेला महाराष्ट्र 2023-24 या आर्थिक वर्षातील पहिल्या तिमाहीत सुद्धा पहिल्याच क्रमांकावर आहे.
डीपीआयआयटीने एप्रिल ते जून 2023 या कालावधीसाठीच्या जारी केलेल्या… pic.twitter.com/fCOtzJ627k

— Devendra Fadnavis (@Dev_Fadnavis) August 28, 2023

Comparatively, Delhi secured the second position with INR 15,358 crore. It was followed by Karnataka with INR 12,046 crore and Telangana with INR 6,829 crore. In 2022 and 2021, the state received INR 1,18,422 crore and INR 1,14,964 crore in FDI, respectively.

However, during the Uddhav Thackeray administration, there was a period of lower FDI rankings. Speaking to reporters, Fadnavis said, "Until 2019, the state was at the top of the FDI chart, but it dipped in the two years of the Uddhav Thackeray government. In 2021 and 2020, Karnataka and Gujarat took the lead, respectively. Soon after we took over, the corrective measures were taken as promised. We have taken the state again to the number one position."

Fadnavis acknowledged that the ongoing geopolitical turmoil and the European slowdown due to the Ukraine conflict have impacted this year's FDI figures. Nevertheless, Maharashtra has effectively maintained its status as a top investment destination.

Amidst this success, the Shinde administration has faced criticism for the relocation of several significant projects, including Foxconn Vedanta, to other states. This has raised questions about the state's ability to retain high-value investments.