A Citigroup banker said foreign investors may invest up to $100 billion in India, the country with the largest population in the world, attracted by India's high-tech manufacturing, infrastructure, and climate change projects this fiscal year.
K Balasubramanian, head of Citi's banking business in Southeast Asia and the Indian Subcontinent, said companies committed to helping India achieve net-zero emissions targets will be among the beneficiaries of foreign capital flows.
"Climate transition is underway, which is likely to trigger a wave of foreign inflows," Balasubramanian said in Mumbai.
The Indian government aims to attract $110 billion in foreign direct investment annually in the next seven years, and this South Asian country is attracting investors who want to diversify their investments from China. India has attracted an average of over $70 billion in foreign direct investment annually over the past five years.
Bala said that capital is flowing toward sustainable energy creation strategies such as solar, hydrogen, and ammonia. He pointed out that electric cars are the "real big event" in energy consumption.
"Every major company is making an iterative plan to enter the next generation of electric vehicles," Bala said.