The Inflow of FDI in the IT-BPM Sector of India
Keywords:
Foreign direct investment, IT-BPM, government policies, projects, India, unicornsAbstract
India experienced a notable surge in its unicorn count, by crossing more than 108 unicorns in the year 2023. This achievement positioned India as the second-highest country globally in terms of the number of unicorns added during this period. In the year 2022, a total of over 1300 new technology startups were established. In the fiscal year 2022, a total of more than 280,000 employees underwent reskilling initiatives to acquire digital skills. According to estimates for the fiscal year 2023, the technology industry in India is projected to employ approximately 5.4 million individuals and make a significant contribution of 53% to the country's service exports. In this study, we will identify and know the inflow of Foreign Direct Investment (FDI) in the Information Technology-Business Process Management (IT-BPM) sector of the economy using a linear regression model and the role of government in attracting foreign investment in this sector with the recent major projects undertaken in this sector.
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