The state ranked 11th in the country in FDI inflows between April and September 2025 accounted for 0.88% of the FDI of ₹3.03 lakh crore received in the country during the six-month period. Punjab improved its position from 14th place in 2024-25, when the state attracted ₹759 crore ($90 million) in FDI. The FDI equity inflows into the state are primarily in the food processing, auto components, engineering goods and textiles sectors.
Of this year’s FDI inflows, around 80% came in the districts of Patiala and Ludhiana, while the remaining 20% was spread across Patiala, Jalandhar, Gurdaspur, Bathinda, and Nawanshahr districts, according to the latest official data released by the Union ministry of commerce and industry.
The total FDI comprises equity inflow, equity capital of unincorporated bodies, reinvested earnings, and other capital. However, the central government maintains state-wise details only for the equity component of FDI inflows, which it started compiling from October 2019. Earlier, the FDI data was collected on the basis of the regional offices of the Reserve Bank of India (RBI), under which Punjab was clubbed with Haryana, Himachal Pradesh and Chandigarh.
Cumulatively, Punjab has received FDI equity inflow of ₹ 12,596.25 crore from October 2019 to March 2026. During this period, Punjab’s best ranking was ninth in the financial year 2020-21 when it received ₹4,719.45 crore. However, FDI remained low thereafter and has picked up again during the first half (April to September) of the current fiscal year.
A senior government functionary attributed the rise in FDI inflows to the state government’s international outreach efforts. “We are making concerted efforts to engage with both MNCs and Indian corporates to showcase the investor-friendly policies and investment opportunities in the state,” he said.
