India is the fourth preferred investment destination and the most preferred location for call centers and back-office activities among the global decision makers, according to a survey by Ernst and Young. The Ernst and Young European Attractiveness Survey 2006 added that the U.S. and China remained the top two preferred countries.

While India’s rating remained flat last year, it still lagged behind China in attracting foreign direct investment, the survey shows. While China achieved the lead position for manufacturing operations, India has emerged the top country for call centers and back-office functions. Germany and USA/Canada trailed India in BPO functions.

However, the survey also revealed that India’s popularity as a BPO center of choice was coming down. In Research and Development centers, India was at number five among the top 10 countries.