IMPACT OF FDI ON INSURANCE SECTOR IN INDIA WITH SPECIAL REFERENCE TO SBI LIFE INSURANCE

Since the economic liberalization, India is attracting the foreign investors to invest in, as India is a growing economy. The flow of FDI into the country is having more advantages as it helps in demand for foreign currency, capital formation, creates new job opportunities, add up to the GDP and so on. The main objective of this paper is to identify the impact of FDI on Indian insurance sector with special reference to SBI life insurance limited. Since India is the largest democratic country with political stability and second largest emerging market with highest rate of return, India is the best place for foreign investor. Apart from a nations foreign exchange reserves, exports foreign investments are also important for the well-being of a country. FDI provides a win-win situation to host as well as home country. Both countries are interested in inviting FDI because they benefit a lot from such type of investment. FDI also helps in increasing the output, productions, exports at all the sectorial levels of the Indian economy. Finally FDI affects GDP of a country directly and hence they are positively correlated