India’s outward foreign direct investment (OFDI) stood at a robust USD 6.65 billion in the first quarter of FY 2025 (April 1 to June 30, 2025), according to data released by the Reserve Bank of India (RBI). The report outlines country-wise investment figures comprising equity, loans, and guarantees, showcasing India’s expanding global business footprint.
Total Outward FDI Components
Equity Investments: USD 4.29 billion
Loans Extended: USD 2.35 billion
Guarantees Invoked: USD 0
Total OFDI: USD 6,649.80 million
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Top Recipient Countries of Indian FDI
1. Singapore
Equity: USD 1,889.84 mn
Loan: USD 328.95 mn
Total: USD 2,217.57 million
Largest recipient of Indian FDI this quarter
2. United States of America
Equity: USD 756.56 mn
Loan: USD 247.88 mn
Total: USD 1,004.45 million
3. Mauritius
Equity: USD 0.11 mn
Loan: USD 1,007.61 mn
Total: USD 1,007.72 million
Notably high loan-based investment
4. Netherlands
Equity: USD 253.97 mn
Loan: USD 45.96 mn
Total: USD 299.93 million
5. United Kingdom
Equity: USD 260.56 mn
Loan: USD 77.33 mn
Total: USD 337.89 million
Other Noteworthy Destinations
Germany – USD 345.55 mn
HSBC GIFT CITY – USD 102.58 mn
UAE – USD 450.37 mn
Switzerland – USD 50.31 mn
Australia – USD 34.29 mn
Canada – USD 3.31 mn
Saudi Arabia – USD 1.6 mn
Observations & Trends
The data indicates a shift toward equity-dominant FDI, with over 64% of investments being in equity form.
Singapore continues to be India’s top investment destination, retaining its long-standing position due to its tax-friendly regime and financial infrastructure.
Mauritius, despite losing its historical FDI edge, witnessed a spike in loans, likely related to project financing or holding structure activities.
No guarantees were invoked across all countries in this quarter — indicating strong repayment discipline or structurally safer OFDI.
Sectoral Implications
Although sectoral data is not included in this RBI summary, the high OFDI toward countries like Singapore, USA, and UK typically suggests continued investments in IT services, fintech, pharmaceuticals, and infrastructure projects.
Conclusion
India’s outward investment appetite continues to rise, with Indian companies diversifying across geographies and structures. The RBI’s quarterly snapshot reaffirms India’s growing stature in global business, capital deployment, and multinational expansion.
Stay updated with The Banking Times for the next OFDI breakdown and deeper analysis into India’s global economic movements.
