PROSPECTS OF FDI INFLOWS TO PUNJAB
Abstract
Punjab direly requires coordinated augmentation of foreign direct investment (FDI) for rapid industrialization. But the bitter fact is that Punjab is a very small recipient of total FDI inflows received by the country. The present study intends to discuss the investment opportunities in Punjab and explore the prospects of FDI inflows. The study concludes that there exist a lot of investment opportunities in Punjab. The major industries which have a great deal of potential are information technology and knowledge industry, agro based food processing industry, bio technology & pharmaceutical industry, auto parts industry, textiles industry, light engineering goods, sports goods and tourism industries. The study revealed that although the prospects of FDI inflows to Punjab are positive in the ensuing decade but the overall expectations for short term FDI inflows can be best described as cautiously optimistic. Hence, the fact remains that it will take some more years before Punjab can fuel stronger investors’ enthusiasm and FDI boom becomes a reality.
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