Asia's third largest economy is doing all it can to boost foreign investment to try and revive flagging growth. The problem, say analysts, is that the string of measures introduced in recent times are actually having the reverse effect and putting investors off.
On Tuesday, Indian Prime Minister Manmohan Singh made it easier for foreigners to invest in a range of industries, namely telecommunications, petroleum and natural gas, insurance and defense production amongst others.
The measure is the latest in a series of steps to relax rules on foreign investment, including moves to free up foreign investment in the country's huge retail sector in September and banking in December last year.
But political disputes over the merits of such moves have made progress difficult and unnerved investors as a result, analysts say.
"The new measures can't hurt, but will they spur large amounts of foreign direct investment? I'm not so sure," said Rahul Bajoria, regional economist at Barclays.