An Analysis of Foreign Capital and Revenue Receipts in India

Abstract

This research paper examines the flows of foreign capital in the era of globalization, focusing on physical capital brought from foreign countries. It analyzes different forms of foreign capital, including foreign direct investment (FDI), portfolio investment, foreign aid, commercial loans, and official flows. The study explores the impact of foreign capital on technology transfer, infrastructure development, productivity, employment, and competitiveness while also highlighting its associated challenges. Using secondary cross-sectional data from sources such as the World Development Indicators, the paper presents a comparative analysis of foreign capital inflows across various economies. It also reviews existing literature on global economic links and discusses trends in personal remittances, FDI, and portfolio equity. The findings provide insights for policymakers, multinational corporations, and multilateral institutions in shaping future investment strategies and economic policies