New Delhi: Odisha has emerged as the top investment destination in the country attracting FDI proposals worth over a Rs 49,527 crore in 2011-12, a state-wise analysis by industry body Assocham shows.
"With over 27 percent share in the total foreign direct investment (FDI) proposed in 2011-12, Odisha has emerged as the most favorite investment destination for overseas investors across India," Assocham said.
Though barely 17 FDI proposals were filed in Odisha, the state garnered a big share worth about Rs 49,527 crore in the total FDI proposed across India, it added.
Andhra Pradesh was ranked second as it attracted FDI proposals worth about Rs 33,936 crore (19 percent share of total FDI through 70 proposals) in the last fiscal.
The chamber said Gujarat ranked third attracting proposed foreign funds worth Rs 20,258 crore (131 proposals), followed by Chattisgarh which got proposals of over Rs 20,000 crore.
With about eight percent share in the total Foreign Direct Investment proposed in 2011-12, Karnataka has emerged as the fifth most favourite investment destinations for overseas investors across India.
With less than even one percent share in the total foreign direct investment (FDI) proposed in 2011-12, however, Uttar Pradesh was ranked as 10th favourite investment destination. The state attracted about 37 FDI proposals worth over Rs 1,700 crore.
Of the top twenty states, West Bengal was ranked at 14th place only above states like Bihar, Uttarakhand, Jharkhand, Jammu and Kashmir, Assam and Kerala, and managed 24 FDI proposals worth a meagre Rs 1,243 crore.
Rajasthan, Tamil Nadu, Himachal Pradesh, Uttar Pradesh, Haryana, Madhya Pradesh and Punjab stayed ahead of West Bengal and attracted FDI proposals worth between Rs 8,600 crore and Rs 1,200 crore during the FY'11-12.
Assocham said a total of 763 FDI proposals worth over Rs 1.78 lakh crore were filed across various states in India during the aforesaid period.
Sectors such as services, telecom, construction, computers (software and hardware), real estate and housing, chemicals, pharmaceuticals, power and automobiles attracted highest FDI inflows across the country, Assocham Secretary General D S Rawat said.
Further, the chamber said India is competing for foreign investments with other emerging economies.     

"Therefore, bureaucratic delays and process vis-à-vis plethora of governmental approvals and clearances involving various ministries must be fastened to increase the absorption of FDI in India," it said.
Also, the chamber has suggested to the government to devise a mechanism to facilitate consultation between the centre and state governments before rolling out a policy to ensure that the decision once taken does not get affected.
Besides, the government must ensure consistency of policy so as to perk up the business and investors' confidence, he said.


Latest News  from Business News Desk