In the fiscal year 2022-23, foreign portfolio investors (FPIs) withdrew a total of Rs 37,631 crore from Indian equities, following aggressive rate hikes by central banks worldwide. This comes after a record withdrawal of Rs 1.4 lakh crore in the previous fiscal year of 2021-22.
Foreign portfolio investors (FPIs) have begun the current financial year on a positive note by investing Rs 8,767 crore in Indian equities so far this month, after pulling out funds on a net basis in 2022-23. This influx of investment can be attributed to the reasonable valuation of stocks.
However, FPI flows are expected to remain volatile due to the tight monetary policy of the US Federal Reserve, as indicated by the recent Fed minutes, which have hinted at a possible interest rate hike of 25 basis points in the upcoming policy meeting.
Despite this, FPIs have been buyers in all days of April so far, and have invested a net sum of Rs 8,767 crore in Indian equities during April 3-13, according to data from the depositories.
Source Credit : https:/cm.economictimes.com/