Foreign Direct Investment (FDI) has been a driving force behind digital inclusion and economic transformation in India from 2000 to 2023. Employing a combination of descriptive and analytical methodologies, the research investigates the relationship between FDI inflows and key indicators of digital infrastructure, including internet usage, mobile and broadband subscriptions, fixed telephone lines, and digital payment transactions. The findings reveal that FDI has significantly contributed to the expansion of telecommunication networks, enhanced broadband accessibility, and accelerated the shift towards cashless transactions, marking a transition from traditional systems to a more digitally integrated economy. The study highlights how policy interventions, such as demonetisation, have intensified the digital adoption process. Despite these advancements, notable disparities in internet and broadband access persist, pointing to the need for more inclusive digital strategies. The study underscores FDI’s instrumental role in shaping India's digital landscape, fostering technological inclusivity, and driving sustainable economic growth through innovation, infrastructure development, and evolving business environments.