• India is among the three most attractive FDI destinations in the world
• India has evolved as one of world’s leading technology centers
• India has highest return on foreign investment in the world
• By 2032, India will be among the three largest economies in the world
• India is a developed country as far as Intellectual Property is concerned
• The Indian market has two core advantages – an increasing presence of multinationals and an upswing in the IT exports.

These factors indicate the current the outlook of the world economy towards the investments in India. The Government of India has always given top priority to the Indian SMEs, leading to their growth and have contributed heavily to the growth of the Indian economy. The government too has introduced incentives for the SMEs in order to make them competitive in the international markets. In order to enable SMEs get easy access to the finance, government has also introduced priority sector lending and has made mandatory on the domestic and foreign banks to lend 40% and 32% of their Net Bank Credit (NBC) to the SMEs.

The opportunities exists for foreign SMEs looking to expand in the Indian market in the field of technology transfer, setting up the new business in the country, obtaining the sub-contracting rights, out-sourcing to their Indian partners etc.