India has spent a decade becoming one of the world's most attractive investment destinations, with gross FDI inflows touching $81 bn in FY25. Yet, beneath the headline numbers sits an uncomfortable question: how much of the value created in India does India keep?
Of every ₹100 of profit generated by an MNC in India, only about ₹56 stays here. No other large emerging economy performs this poorly. China keeps 91%, Indonesia 96%, and Brazil 88%. Between FY23 and FY26, dividend remittances totalled $118.9 bn, and royalty and IP payments another $46.6 bn; total outflows reached $344.4 bn against fresh equity inflows of $230.6 bn. This is roughly $1.50 leaving for every dollar that came in. On IP alone, India runs a net deficit of about $14.5 bn a year.
