The Impact Of Foreign Direct Investment On Indian Economy Specific To Service Sector: A Systematic Literature Review

Abstract

Purpose: This study aims to provide a systematic review of the existing literature on the impact of FDI on India's service sector. By synthesizing insights from prior studies, it identifieskey trends, gaps, and implications of FDI in this crucial segment of the economy.

Methodology, design, and approach:The study uses the PRISMA 2020 which is a revised edition of the initial PRISMA statement, which was published in 2009. The studies were searched from the Scopus and Google Scholar directories using the appropriate keywords in the relevant subject areas. Initially, a total of 821 research articles were selected. Furthermore, after applying different exclusion criteria, for the study, a total of 28 research articles were finally considered.

Findings: Most of the studies indicate that foreign direct investment in the service sector positively affects the growth of the Indian economy.

Implications: The findings offer valuable perspectives for policymakers, investors, and academics in understanding the dynamic interplay between FDI and the Indian service sector.