As per data on Outward Foreign Direct Investment (OFDI), Indian companies made a total financial commitment of US$ 4.49 billion abroad during May 2026. This includes investments through equity, loans, and guarantees.OFDI refers to investments made by Indian companies in businesses and projects located outside India.
What is Financial Commitment?
Financial commitment represents the total amount committed by Indian companies for overseas investments. It consists of three components:
- Equity Investment – Money invested by Indian companies in the ownership of overseas businesses.
- Loans – Funds lent by Indian companies to their foreign subsidiaries or joint ventures.
- Guarantees Issued – Financial guarantees provided by Indian companies for overseas entities.
Breakdown of Overseas Investments in May 2026
During May 2026:
- Equity investments stood at US$ 1.25 billion.
- Loans amounted to US$ 632.12 million.
- Guarantees issued reached US$ 2.61 billion.
As a result, the total financial commitment by Indian companies abroad was US$ 4.49 billion.
Comparison with April 2026
The total overseas investment commitment in April 2026 was significantly higher at US$ 8.84 billion.
Compared to April:
- Equity investments declined from US$ 3.54 billion to US$ 1.25 billion.
- Loans fell from US$ 1.30 billion to US$ 632 million.
- Guarantees issued decreased from US$ 4.00 billion to US$ 2.61 billion.
Overall, total financial commitment dropped by nearly 49% month-on-month.
Comparison with May 2025
Despite the decline from April 2026, overseas investments were higher than the level seen a year ago. In May 2025, total financial commitment was US$ 3.34 billion, compared to US$ 4.49 billion in May 2026. This represents an increase of around 34.6% year-on-year.
Click here to download OFDI Data May 2026
