Former Foreign Secretary of India Harsh Vardhan Shringla on Wednesday said Foreign Direct Investment (FDI) remains a key pillar of India’s economic strategy, crediting Prime Minister Narendra Modi’s global outreach, including his recent five-nation tour, for strengthening investor confidence.
Speaking to ANI, Shringla said FDI plays a crucial role in supporting foreign exchange reserves, bringing in technology, and generating employment, while noting that India continues to actively court long-term global capital amid concerns over fluctuating investment flows.
“Foreign direct investment is a constant important requirement because it is a very important way that you can bolster up your foreign exchange reserves without having to pay interest on it, and it brings you technology, it creates employment,” he said.
Shringla said PM Modi’s recent visits to five countries were significant in deepening India’s economic partnerships and diversifying investment sources. He cited growing commitments and interest from countries including the UAE, Sweden, the Netherlands, and Norway as evidence of rising confidence in India’s economic outlook.
He added that several countries are seeking to expand trade ties and strengthen their economic presence in India following the Prime Minister’s engagements abroad.
“I think the success of his tour can be seen from the fact that countries have pledged their money in showing their confidence in India,” he said.
Describing the global economic environment as cautious, Shringla said investors were currently risk-averse amid bearish market sentiment and capital volatility, making foreign direct investment even more critical for growth.
He also referred to a recent meeting with a US nuclear energy delegation, saying international investors continue to express confidence in India’s long-term energy demand and growth trajectory.
“They are confident that over the next 10, 20, 30 years, India is going to look good,” he said, adding that India’s rising energy needs were attracting interest in advanced technologies.
Shringla further said Prime Minister Modi’s personal engagement in diplomatic outreach carries significant weight in shaping investment decisions across countries in Europe, the Gulf, and other regions.
He also highlighted the strategic importance of the Gulf region, calling it vital for global energy security, trade routes, and connectivity, while noting India’s deep ties with the region, including a large expatriate population and significant energy imports.
West Bengal political remarks
In a separate set of remarks, Shringla also commented on political developments in West Bengal, describing the Bharatiya Janata Party’s recent electoral performance as one of the most significant political shifts since 2014.
He claimed that the state’s governance structure had undergone major change and said the previous administration had remained out of sync with the Centre, referring to the Trinamool Congress (TMC) rule as a “disaster.”
Shringla said this election cycle marked the first time polls in the state were conducted in a “free and fair manner,” attributing it to stronger administrative conditions and the deployment of central forces.
He alleged that earlier elections in the state were affected by irregularities, including misuse of voter lists and multiple entries, and said the presence of central armed police forces helped ensure a more transparent process.
The BJP secured a decisive victory in the Assembly elections with 207 seats, while the Trinamool Congress (TMC) won 80 seats, according to his remarks, ending a 15-year rule in the state.
Bd-pratidin English/ Jisan
