'Singapore most favoured destination to invest for Indian companies'

New Delhi: Indian firms' total direct overseas investment increased by 32 percent to USD 2.49 billion in December, with Singapore emerging as the top destination.

Indian firms pumped in USD 2.06 billion in Singapore in December, which is over 82.5 percent of the total commitment.

Indian firms' total direct overseas investment during the month was USD 2.49 billion, up by 32 percent from the same month a year ago, according to the Reserve Bank data on outward foreign direct investment.

Among other destinations where Indian companies invested money included the UK (USD 916.47 million), Mauritius (USD 899.39 mn), the US (USD 368.76 mn), the Netherlands (USD 262.52 mn) and the United Arab Emirates (USD 189.05 mn).

This is the first month for which RBI has started publishing data in terms of country-wise investment by Indian firms.

Out of total investment of USD 2.49 billion, as much as USD 1.19 billion were through issuance of guarantee by Indian companies in their overseas business holdings.

While USD 481.76 million came in the form of loan, USD 812.91 million of investment were through equity infusion by these firms in their overseas ventures.

In November 2016, the overseas direct investment by Indian firms was much below at USD 747.78 million.

Those among prominent investors: Intas Pharmaceuticals USD 671.82 million in Brazil, Mexico and the UK; while Gail India invested USD 115.07 million in two JVs and a wholly-owned subsidiary in Hongkong, Myanmar and the US, respectively.

Piramal Enterprises infused USD 82.63 million in the Netherlands and the US, while Ashok Leyland committed USD 44.74 million in the UK and Germany.

RBI data on outward overseas investment is provisional and may change based on online reporting by banks.