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India, foreign investments double

The drive to globalize the country's businesses is showing massive momentum. But it is internal investments that are languishing, penalized by the rising inflation.

43,9 billion dollars: so much is the volume of foreign investment made by major Indian companies. A significant figure, which shows the drive towards globalization of the country's multinationals. The photograph was taken by the Reserve Bank of India and concerns the fiscal year 2010-2011, compared with the previous year, when the billions were 18.

The Indian central bank explains the doubling of performance with the new rules on liberalisation, to which must be added the greater availability of capital that abroad allows compared to India, where the cost of money is growing. Alongside this result, the RBI underlines the difficulties encountered by internal investments.

The Indian economy is grappling with high inflation rates, the worst in emerging markets. And the inflow of foreign capital into the country is decidedly stagnating: in the first quarter of the year, direct investments from other nations amounted to 3,4 billion dollars, down 25% on the same period in 2010.

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