Liberal foreign investment policies in India could attract more international capital.
The article explores the connection between foreign investment and economic factors in India from 2007 to 2019. They used a model to analyze how trade openness, oil prices, stock returns, GDP, and exchange rates affect foreign investment. The study found that there is no direct relationship between these economic factors and foreign investment in the short or long term. However, the research suggests that having flexible government policies can lead to more foreign investment in India.