Europe Leads with 42% Share as Global Investors from US, Japan, and Emerging Markets Deepen Confidence in India’s Manufacturing Ecosystem

Investments Spread Across States in FY26 as Emerging Regions Gain Ground; Madhya Pradesh Leads in Job Creation

Invest India, the National Investment Promotion and Facilitation Agency under the Department for Promotion of Industry and Internal Trade (DPIIT), Ministry of Commerce and Industry, has facilitated the grounding of 60 projects worth over USD 6.1 billion during Financial Year 2025–26. These investments span 14 states and are estimated to generate more than 31,000 potential jobs, reflecting sustained and deepening global confidence in India as a preferred investment destination.

Approximately 42 per cent of the total grounded investment value originates from European nations, reinforcing strengthening India-Europe economic linkages. Continued participation from the United States, Japan, South Korea, Australia, and other key source markets affirms broad-based international confidence in India’s regulatory environment and manufacturing capabilities. Emerging source nations such as Brazil, New Zealand, and Canada indicate diversification in the country’s investment base.

Commenting on India’s policy environment, Secretary, DPIIT, Shri Amardeep Singh Bhatia said, “India’s investment momentum is a direct outcome of policy clarity, institutional commitment, and the trust global investors place in our systems. The USD 6.1 billion grounded by Invest India in FY 2025–26 reflects the strength of India’s regulatory environment and the depth of its economic transformation. DPIIT remains committed to further simplifying processes and ensuring that investments translate into jobs, innovation, and long-term value.”

Invest India has strengthened end-to-end facilitation across the investment lifecycle, from early-stage advisory to post-investment aftercare. It has adopted a network-led ecosystem approach by engaging with investors’ suppliers, buyers, and extended value chains to build integrated industrial ecosystems. The agency is also supporting foreign companies exploring alternate entry routes such as joint ventures by facilitating partnerships with credible domestic players.

These interventions have resulted in improved investment conversion and scale. Grounded investments have registered nearly threefold growth over FY 2024–25, while the average deal size has increased by 1.8 times, indicating a shift towards higher-value investments.

MD & CEO, Invest India, Ms. Nivruti Rai said, “These outcomes reflect a shift in Invest India’s role towards becoming a strategic investment partner. The threefold growth in grounded investments and the creation of over 31,000 jobs demonstrate the impact of coordinated policy support, institutional agility, and investor confidence. Invest India remains committed to sustaining this momentum as India progresses towards Viksit Bharat 2047.”

Chemicals, Pharmaceuticals & Biotechnology, and Food Processing sectors account for approximately 65 per cent of grounded investments, driven by high-value projects aligned with India’s manufacturing and value-addition priorities. Emerging sectors such as Electronics System Design and Manufacturing (ESDM), Aerospace & Defence, and Auto/EV also recorded significant activity.

FY 2025–26 witnessed continued geographic diversification of investments across states. Gujarat, Madhya Pradesh, Maharashtra, and Andhra Pradesh emerged as key hubs driven by high-value projects, while Rajasthan and Uttar Pradesh recorded strong grounding activity. Established destinations such as Tamil Nadu, Karnataka, Haryana, and Delhi continued to anchor major investment inflows. The grounding of projects in Assam, Bihar, and Sikkim indicates the broadening of the investment landscape. In terms of employment generation, Madhya Pradesh emerged as the leading state, followed by Andhra Pradesh, Rajasthan, Telangana, and Maharashtra.

These trends reflect the cumulative impact of India’s landmark policy initiatives, including Make in India, Production Linked Incentive (PLI) Schemes across 14 key sectors, and sustained infrastructure development programmes, which have strengthened India’s position as a globally competitive and reliable manufacturing destination.

About Invest India

Invest India is the National Investment Promotion and Facilitation Agency of the Government of India, established in 2009 as a not-for-profit company under DPIIT, Ministry of Commerce & Industry. Supported by a unique partnership between the Central and State Governments and industry associations, Invest India serves as the first point of contact for global and domestic investors, providing comprehensive end-to-end support across the investment lifecycle — from pre-investment advisory and project facilitation to aftercare and expansion support. The agency focuses on high-impact sectors, including Electronics & Semiconductors, Renewable Energy, Electric Vehicles, Capital Goods, Textiles, Food & Agriculture, Pharmaceuticals, Chemicals & Critical Minerals, and Infrastructure. For further information, please visit: www.investindia.gov.in

Investment facilitation and manufacturing confidence drive grounded projects, diversified inflows, and large-scale job creation across multiple states. Invest India facilitated the grounding of 60 projects worth over USD 6.1 billion in Financial Year 2025-26, spanning 14 states and expected to generate more than 31,000 jobs. The investment inflow was led by Europe, with participation from the United States, Japan, South Korea, Australia, and other markets, while emerging source countries reflected diversification in the investment base. The facilitation model covers the full investment lifecycle, supports joint ventures, and builds integrated industrial ecosystems. Chemicals, pharmaceuticals and biotechnology, and food processing accounted for a major share of grounded investments, alongside activity in electronics system design and manufacturing, aerospace and defence, and auto/EV.