Shyness of capital market of developing countries makes them dependent on FDI (Foreign Direct Investment). Capital formation rate of developing nations stands always low in comparison to developed countries. In the developing nation need of capital is more than the availability in order to fulfill the gap between capital available and need FDI took a central place. The role of FDI as a key of development engine has increased very significantly in last two decades. More than half of the total

more »

... ital inflow developing countries are receiving in the form of FDI. Across the world all most developing countries are trying to attract FDI through their liberal policies. Restrictions which were earlier in existence now are being removed. This paper examines the trend of FDI in last many years and forecast its trend.