07/04/2026
India’s Outward FDI Is Growing. But Is It Strategic? 🇮🇳 ➡️ 🌎
A recent report published in March 2026 by the Centre for WTO Studies ( ) in collaboration with the Confederation of Indian Industry ( ) offers a comprehensive look at how Indian companies are investing overseas - and what that reveals about the country’s evolving global strategy.
Between 2007 and 2023, Indian firms invested over USD 200 billion abroad. Yet even in recent years, annual outflows remain modest, volatile, and heavily concentrated in just a handful of destinations - Singapore, Mauritius, the Netherlands, the United States, and the United Kingdom.
A significant share of these flows is routed through financial and holding hubs rather than deployed directly into end markets. At the same time, there has been a visible shift in the structure of investment itself - with guarantees and intra-group financing increasingly replacing equity-led expansion. In effect, Indian firms are globalising, but doing so cautiously and with capital efficiency in mind.
There is also a clear sectoral pattern. India’s outward continues to be dominated by financial, IT, and business services, while investment into advanced manufacturing, clean energy, and deep-tech ecosystems remains relatively limited.
Outward investment from India is still driven by a small group of large firms, while mid-sized companies continue to face challenges around financing, risk mitigation, and structured market entry.
The next phase of India’s global expansion will depend less on opening doors - and more on enabling Indian firms to walk through them with scale, clarity, and long-term intent.
At , this is exactly where we focus - working with companies to identify the right investment markets, structure entry strategies, and build meaningful commercial footholds rather than just exploratory presence.
The question is no longer whether Indian firms will go global.
It is how strategically they will do so.
