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India's FDI surges 44% to $39 billion in 2025, driving South Asia growth

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India recorded a significant rise in foreign direct investment, with inflows reaching $39 billion in 2025, marking a 44% increase. This growth was a key driver behind South Asia's overall FDI jump, which climbed from $34 billion to $46 billion. The figures were highlighted in a report that credited India for much of the regional momentum. However, UNCTAD cautioned that project-level indicators point to a more measured investment climate despite the headline gains. The divergence suggests that while capital inflows are up, on-the-ground investment activity may be more restrained.

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