India’s share in global greenfield investments during 2020-25, at 5.7%, is more than double China’s share in such investments during the same period, the latest report by the UN Conference on Trade and Development (UNCTAD).
However, it also pointed out that investment in strategic sectors still remains concentrated in Europe and North America, highlighting the integration challenges for the global south.
The latest Trade and Development Report 2026 report by UNCTAD, released on Friday, said that greenfield investments were increasingly being made in strategic sectors. Greenfield investments refer to those made by companies in new ventures in another country.
Rise of strategic investments
According to the data in the report, India accounted for 5.7% of global greenfield investments during 2020 to 2025, followed by Malaysia (4%), Indonesia (3.8%), and China (2.8%).
“From 2020 to 2025, strategic sectors grew from 16% to 44% of global greenfield investment, which captures both their rapid progression and current importance,” the report said.
Among these strategic sectors, artificial intelligence (AI) infrastructure and related technologies attracted the largest share of 12.4% of the $845.7 billion of overall global greenfield investment that took place within this period. AI infrastructure was followed by the semiconductor value chain (8.1%) and energy transition technologies and services (7.8%).
Developing world lagging behind
“The geographic disparity in strategic investment underscores the growing integration challenges for the global South, especially for the least developed countries,” the report said.
It pointed out that Europe accounted for 28.4% of strategic investment and North America captured another 28%.
“Even among developing economies, capital is primarily funnelled into developing Asia (26.5%), with China, India, Indonesia, Malaysia and Singapore as leading jurisdictions for new investments,” the report said.
India’s industrial push
The report also shows that India ranks high in terms of the number of industrial policies it has implemented over the last two decades or so. During 2008-21, India implemented 1,416 industrial policies, behind only China (4,201) and the U.S. (4,025).
However, the data also shows that industrial policy implementation has since quickened globally as well as in India. In the much shorter period 2022-25, data shows India implemented 707 industrial policy measures, about half the number it did in the 2008-21 period.
Nevertheless, it fell in the rankings during this period, with the U.S., China, Australia, and Brazil all implementing more industrial policies than India did.
India leads in growth
“China and India continue to outperform, although along distinct structural paths,” the report noted. “India is the fastest-growing major economy, with GDP projected to expand by 7.3% in 2026 and 6.8% in 2027 due to robust domestic demand, increasing manufacturing capacity and public infrastructure programmes.
It added that these factors are together sustaining growth despite India’s heavy reliance on oil imports. However, it also pointed out that domestic consumption is starting to buckle somewhat under the pressure of higher prices.
“India continues to post dynamic growth in household consumption, estimated at 6.9% this year and 5.6% next,” the report said. “These rates nonetheless mark a significant deceleration from previous years, as higher prices and input costs rein in expansion.”
Published – October 09, 2026 06:15 pm IST
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