India’s Domestic Investment Announcements Surge to Rs. 37 Lakh Crore in FY23 and FY24
India’s economy has witnessed a remarkable surge in domestic investment announcements, crossing Rs. 37 lakh crore (approximately US$ 428.04 billion) in the last two financial years—FY23 and FY24. This represents a substantial jump from the Rs. 10 lakh crore (US$ 115.69 billion) recorded in FY21, according to a State Bank of India (SBI) report. The increase is driven by strong participation from both the government and the private sector, reflecting a robust recovery and continued momentum in India’s investment landscape.

The data from the SBI report indicates a consistent upward trend in investment activities across sectors. In the first nine months of FY25 (9M FY25), Rs. 32 lakh crore (US$ 370.20 billion) in investment announcements were made, a significant rise from Rs. 23 lakh crore (US$ 266.08 billion) during the same period the previous year. This growth highlights the strong economic confidence and ongoing efforts to create a conducive environment for both domestic and international investments.

Private Sector Takes the Lead
One of the key findings of the report is the growing role of the private sector in driving investment growth. In FY21, the private sector accounted for about 50% of total investment announcements, but this share increased significantly over the years. By FY22 and FY23, the private sector's contribution had risen to approximately 68%, and in the first nine months of FY25, it surpassed 70% of the total announced investments. This increase reflects the private sector’s increasing confidence in India’s economic future and its crucial role in shaping the country’s growth trajectory.

Sector-wise Investment Highlights
The manufacturing sector has been a major beneficiary, with 1,493 investment projects totaling Rs. 5,97,921 crore (US$ 69.17 billion). This sector's investment growth is a clear indication of India's continued push towards industrialization and self-reliance under initiatives such as Atmanirbhar Bharat.

Meanwhile, the power sector attracted the highest value of investments, totaling Rs. 13,58,783 crore (US$ 157.19 billion), as India continues to expand its energy capacity and invest in cleaner, more sustainable energy sources. Other sectors like mining and oil and gas also saw significant investment inflows, further diversifying the country’s investment base.

A Growing Favorable Investment Environment
The sharp increase in domestic investments is also a reflection of India’s growing attractiveness as an investment destination. Key reforms, infrastructure improvements, and the development of favorable policies have contributed to a favorable investment environment, especially in critical sectors like manufacturing, renewable energy, infrastructure, and technology.

With over Rs. 37 lakh crore in domestic investment announcements, the outlook for India’s economy remains positive, with continued growth across various sectors. The private sector’s increasing share in these investments, alongside the growing momentum in manufacturing and power sectors, indicates that India is well-positioned to become a global economic leader in the coming years.

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