In a recent statement, the Congress highlighted Maharashtra’s consistent lead as the prime destination for foreign direct investment (FDI). Deputy Chief Minister Devendra Fadnavis drew criticism from the Congress for suggesting otherwise during the Maha Vikas Aghadi (MVA) governance. According to Sachin Sawant, spokesperson for the state Congress, Maharashtra secured approximately 33% of the nation’s FDI between 2000 and 2012, based on data from the Union ministry of industries.
Contrary to Fadnavis’s claim, Maharashtra maintained its top position in overall FDI from October 2019 to June 2022, even under the MVA government, Sawant asserted. The MVA administration, led by Uddhav Thackeray, collapsed in June 2022 following a rebellion led by Eknath Shinde within the Shiv Sena, leading to an alliance with the BJP. It’s notable that the Congress is part of the MVA coalition.
Despite experiencing a dip in FDI attraction during the MVA tenure, Maharashtra has rebounded to claim the top spot in the last two consecutive years, Fadnavis acknowledged on Friday. However, Sawant argued that Fadnavis’s reference to data from April 2021 to March 2022, placing Karnataka at the forefront, lacked coherence. Sawant contended that citing Gujarat’s top rank in FDI from April 2020 to March 2021 would have been more relevant.
Sawant accused the BJP-led Central government of neglecting Maharashtra, resulting in Gujarat and Karnataka surpassing it in FDI influx. Notably, the computer hardware and software sector attracted significant FDI from Singapore, the US, and Mauritius during these fiscal periods. Gujarat accounted for 78% of all FDI in the nation in 2020-21, with Karnataka claiming 53% in 2021-22, Sawant stated.
Questioning the disparity in FDI between Gujarat and Karnataka in consecutive years, Sawant implied a deliberate redirection of FDI by the Narendra Modi government. Sawant observed a stagnation in FDI growth in the computer hardware and software sector beyond those financial years. Despite Gujarat and Karnataka returning to their original positions, Sawant reiterated Maharashtra’s appeal as a premier investment hub, provided it faces no impediments.