I&B sector records a 31% slump in FDI to 3,374 crore in Q1 FY2025

New Delhi: In the first quarter of this financial year, foreign investment in the information and broadcasting sector dropped by 31%. The sector received Rs 3,374 crore in foreign investment, down from Rs 4,893 crore in the same period last year, according to the Department for Promotion of Industry and Internal Trade (DPIIT).

Experts are attributing the decline in FDI to several factors, including global economic uncertainties, regulatory challenges, and the evolving media landscape. 

Despite the downturn, Walt Disney invested a huge sum of Rs 2,839 crore in Star India to boost its position in India. But it’s not just Walt Disney; even smaller players like IVY Entertainment Holdings invested Rs 219 crore into their channels like B4U Multiplex, B4U Kadak, and B4U Movies.

It is important to note that Walt Disney is investing money while its Star India unit is merging with Viacom18 to create a new company worth $8.5 billion.

The development came as a surprise because, in FY24, the FDI in the sector increased by 87% to reach Rs 7,012 crore, which was up from Rs 3,745 crore in FY23.