New Delhi, Nov. 27 -- Foreign direct investment (FDI) has a long history of transforming industries-from steel to semiconductors. This has been true in countries such as China, Japan, South Korea, Vietnam and India.

But there's an FDI shake-up underway, according to a new study from the McKinsey Global Institute (MGI).

As investment decisions increasingly follow geopolitical lines, India stands as the world's top emerging-market destination for announced 'greenfield' FDI-that is, cross-border investment projects that create net new production capacity.

From 2022 through the first five months of 2025, India's greenfield FDI inflow announcements have averaged $83 billion a year-24% higher than in the 2015 to 2019 period.

Of those billio...