Debt markets witnessed funding, FPIs invested about ₹900 crore below the overall restrict and ₹1,100 crore via the voluntary retention route. File | Photo Credit: Reuters
This follows heavy outflows of ₹34,990 crore in August and ₹17,700 crore in July, taking the full fairness sell-off by Foreign Portfolio Investors (FPIs) in 2025 to ₹1.38 lakh crore, in keeping with depository information.
Looking forward, market specialists imagine that upcoming macroeconomic information from India and the U.S., together with progress in tariff negotiations, will probably be key drivers of FPI flows within the coming week.
Although FPIs stay internet sellers in September, with cumulative fairness outflows of ₹7,945 crore until September 19, their promoting has moderated. In reality, throughout the newest week, they briefly turned internet consumers, buying ₹900 crore of equities after the U.S. Federal Reserve lower rates of interest by 25 foundation factors.
“For the present week FPIs purchased Indian equities value ₹900 crore on the again of the Fed’s price lower. With two extra cuts projected in 2025, liquidity in world markets might enhance considerably. However, FPIs stay internet sellers in September,” stated Vaqarjaved Khan, Senior Fundamental Analyst, Angel One Ltd.
Himanshu Srivastava, Principal, Manager Research, Morningstar Investment Research India, famous that international traders made a “modest however noticeable return” to Indian equities throughout the week.
He stated the Fed’s dovish stance, coupled with easing U.S.-India commerce frictions and India’s steady macroeconomic outlook, lifted sentiment. However, he cautioned that lingering world uncertainties and geopolitical dangers proceed to maintain flows cautious.
Echoing this view, VK. Vijayakumar, Chief Investment Strategist, Geojit Financial Services, identified that FII promoting in India has coincided with shopping for in different Asian markets akin to Hong Kong, Taiwan, and South Korea – a technique that has been worthwhile thus far this yr. “This state of affairs might change going ahead,” he added.
On the opposite hand, debt markets witnessed funding, FPIs invested about ₹900 crore below the overall restrict and ₹1,100 crore via the voluntary retention route.
Published – September 21, 2025 01:11 pm IST
