GOVERNMENT OF INDIA

MINISTRY OF FINANCE

LOK SABHA

UNSTARRED QUESTION NO: 5213

ANSWERED ON:26.04.2013

ESTIMATED OUTFLOW OF FUNDS

ANANT KUMAR HEGDE

(a)the amount paid as dividend on foreign investment and interest on external borrowings during the last three years and the current year;

(b)whether the Government monitors the monetary outflow in the form of dividend payment by foreign investors and interest payment on external borrowing;

(c)if so, the details thereof for the last three years and the current year; and

(d)if not, the reasons therefor?

Will the Minister of FINANCEbe pleased to state:-

ANSWER

MINISTER OF STATE IN THE MINISTRY OF FINANCE

(SHRI NAMO NARAIN MEENA)

 (a) to (d): Remittance of dividend and profit amount and interest payment on external borrowings to the residents outside India are computed as current account transactions under Balance of Payments (BoP) statistics periodically prepared by RBI.

As per BoP Statistics, details of profit and dividend paid by FDI enterprises and interest paid by Indian corporates on account of external commercial borrowings, for the financial years 2009-10 to 2012-13 (April-December) are given below: 

Outflows of Funds on account of ECB interest and FDI Profit & Dividends (US$ billion)

Financial Year Profit and dividend Interest paid on External paid by FDI companies Commercial Borrowings

2009-10 3.8 2.4

2010-11 4.7 2.6

2011-12 4.9 4.4

2012-13 (Apr-Dec) 2.6 3.6