Foreign direct investment into India is set to double and cross $11 billion this fiscal, Commerce Minister Kamal Nath said.
"Once reinvested earnings of foreign companies already present in India are taken into account, the total FDI inflows in 2006-07 could be $14 billion compared to $7.7 billion last year," Nath said.
He said worldwide, reinvested earnings were also taken into account while calculating FDI inflows. However, even without this adjustment, fresh FDI inflow itself is expected to exceed the $11 billion dollar mark in 2006-07 as against $5.5 billion in 2005-06.
"Continuous liberalisation in FDI policy and simplification of procedures are contributing immensely to attracting increased inflows to India," Nath was quoted in an official statement.
He said the annual review of the FDI policy taking into account the changing requirements of investors has given new confidence to foreign firms, which are bullish on India.