India’s outward foreign direct investment (FDI) commitments almost doubled to $6.8 billion in April 2025, a sharp increase from $3.58 billion in the same month last year, according to data released by the Reserve Bank of India (RBI). This growth also marked a sequential rise from $5.9 billion in March 2025. The increase reflects India’s growing international business ambitions and strategic investments across various sectors.
Outbound FDI, expressed as a financial commitment, consists of 3 major components: equity, loans, and guarantees. Among these, equity commitments experienced a remarkable rise, jumping multi-fold to $2.72 billion in April 2025, compared to $740 million in April 2024. The figure also showed a marginal increase from $2.53 billion recorded in March 2025.
Loan commitments also recorded a substantial surge, increasing more than threefold to $1.16 billion in April 2025, compared to $687.33 million in April 2024. However, this was a decline from the $2.12 billion worth of loan commitments made in March 2025.
Meanwhile, financial guarantees for overseas units saw a notable rise as well. The RBI data revealed that guarantees climbed to $2.98 billion in April 2025, up from $2.16 billion in the same month last year and significantly higher than the $1.23 billion reported in March 2025. These movements underline the strengthening support extended by Indian firms to their global subsidiaries.
Read More: India’s $1 Trillion FDI Milestone: Essential Banking & Investment Changes for New NRIs
The sharp increase in India’s outward FDI in April 2025 signifies the country’s robust international investment activity and confidence in expanding global operations. With rising equity investments and support through loans and guarantees, Indian businesses are visibly enhancing their global footprint.
Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.
Published on: May 15, 2025, 2:59 PM IST
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