evidence: FDI inflows in the industry and services sectors have weakened in recent years. In both sectors, the FDI-to-GDP ratio has gone below pre-pandemic levels. The share of industry sectors' FDI in GDP declined from 0.62 percent in FY20 to 0.39 percent in FY24. During the same period, the share of the services sector in GDP fell from 0.87 percent to 0.69 percent. The survey has divided FDI inflows into physical and digital FDI flows. Physical FDI includes sectors such as automobiles, pharmaceuticals, and construction, while digital FDI includes computer services, telecommunications, consultancy services, and information and broadcasting. Around FY14, physical FDI was about three times the value of digital FDI. [...] Sectorally, FY24 reported a decline in FDI equity inflows to the services sector and, therefore, overall FDI equity inflows to India. Higher interest rates, geopolitical conflicts, heightened global uncertainties, and rising protectionism that favour domestic sourcing have all contributed to lower FDI inflows into the sector.