Mauritius is the highest contributor of FDI in India due to the special tax treatment that investments that come through Mauritius receive. This tiny nation in the Indian Ocean is considered a tax haven because it levies corporate tax of less than 3 percent, making it the most preferred route for FDI inflows, especially from other countries.
According to India’s Ministry of Commerce and Industry, Singapore is the second largest source of FDI in India and the top sectors the country invests into India include telecommunications, services, electrical equipment, fuel (power and oil refinery) and transportation.
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