The shift of the power centre from the western countries to the Asia sub – continent is yet another reason to take up this study. FDI incentives, removal of restrictions on investment and trade, bilateral and indigenous agreements on trade and investment among the Asian countries and emergence of Asia as a profitable powerhouse (with China and India arising as the two most promising economies of the world) develops new profitable world order. FDI is a predominant and vital factor in impacting the contemporary process of global profitable development. The study attempts to dissect the important confines of FDI in India. India’s experience with its first generation profitable reforms and the country’s profitable growth performance were considered safe havens for FDI which led to alternate generation of profitable reforms in India in the first decade of this century. There's a considerable change in the station of both the developing and developed countries towards FDI. They both consider FDI as the most suitable form of external finance. Increase in competition for FDI inflows particularly among the developing nations. The exploration is important from the view point of the macroeconomic variables that were included in the study. Some of these explicatory variables weren't included in earlier studies. Growing competition and profitable spillovers from increased FDI inflows along with cost advantage due to productivity earnings have convinced more FDI exoduses which are also perpendicular in nature. Therefore inward FDI has surfaced as major contributing and important factor impacting outside FDI flows from India. The study is primarily aimed at probing the impact of FDI on trade and development in India during the post profitable reforms period. The study also focuses on analysing the FDI trends, examining the effect of major macroeconomic and socio political determinants on FDI inflows into India.

Keywords: Global, Economic, Development, Investment, Competition, Growth, Performance.