Foreign investors shrugged off concerns of high inflation rate impacting economic growth in India and poured in $3.74 billion foreign direct investment in April showing a whopping 127 per cent jump over a year-ago period.
FDI in April, 2007-08 was $1.64 billion which was less than half of the figures in April this fiscal. "I want to dispel fears of any economic slowdown and investment drying up," Commerce and Industry Minister Kamal Nath told reporters in New Delhi on Thursday.
Nath said despite the interest rate hike exerting pressure on the cost of production, the industry is likely to maintain a growth momentum of eight to nine per cent in 2008-09.
The commerce minister painted a similar scenario for exports which have grown by 31.5 per cent in April to $14.4 billion from $10.94 billion in the opening month of the previous fiscal.
India attracted $25 billion FDI in 2007-08 and has set a target of $35 billion for the current financial year.
