"Highest investments are coming from services other than IT and IT-enabled services which may include a lot of things - it could be courier services; it could be getting into services that are partly related to logistics and retailing and so on," she said in her address at the IIM Bangalore.

Construction and infrastructure is the second highest sector which are receiving FDIs, the Minister said.

Sitharaman said that India received FDI worth nearly USD 29.6 billion, the highest amount received by any country in last fiscal.

The Minister said India has received the highest FDIs compared to other countries only showed that the Indian economy is instilling confidence in the minds of investors.

"It is only improving day by day. Largely individual, trust and other corporate entities are coming in," she said.

The US business houses in next five years will be investing anywhere between USD 40 to 45 billion in India in various sectors of activity.

However, Foreign Institutional Investments (FIIs) are progressively coming down, Sitharaman said.

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