Retroactive taxes was from previous gov. After recently launched PLI scheme, India has record high FDI inflows[1]. FDI was flat in 18 and 19, started increasing last year after corporate tax cut and further after PLI scheme.

Of course, India still has long way to go regarding Ease of Doing Business, with byzantine land and permit laws, capital crunch for MSME etc.. Some states like UP, Gujarat are trying to get around byzantine laws by abolishing them for few years. And of course GDP will contract after complete lockdown for a quarter.

1. https://www.financialexpress.com/economy/modis-incentive-sch...

2. https://www.financialexpress.com/economy/modis-incentive-sch...