Vaishnavi Sharma is a Research Scholar at the Indira Gandhi Institute of Development Research (IGIDR), Mumbai. Her research interests include international finance, macro economics, international trade, gender and institutions.
How foreign inflows impact Indian manufacturing firms
25 Jan 2016
In the past few decades, India has emerged as one of the preferred destinations for foreign investors, with the manufacturing sector receiving a substantial proportion of total capital inflows coming into the country. Analysing firm-level data from the Indian manufacturing sector during 2001-2010, this column finds that while capital inflows significantly boost investment capacity of large firms, they do not seem to impact other performance indicators.
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