India’s telecom sector may see revival in FDI in coming years

New Delhi: India’s telecom sector is expected to see a revival in foreign direct investment over the next couple of years. This optimism stems from two recent developments: the opening of satellite communications to the private sector, and introduction of the Telecommunications Act, which are expected to make the sector attractive and stimulate investment, analysts and industry experts said.

The telecom sector has been a laggard in attracting FDI since 2020-21 with the highest amount being $713 million in 2022-23. Previously, the sector used to get a generous amount of FDI, scaling a peak of $6.2 billion in 2017-18.