IPO Momentum Keeps FII Flows Positive Despite Debt Outflows

13 Nov 2025 , 02:06 PM

In another holiday-shortened week (ending 7 Nov), FII flows remained positive. The week witnessed a net foreign inflow of around INR 11 billion. The flows were largely driven by IPOs. Primary equity market witnessed INR 36 billion of inflows. Debt markets, on the other hand, witnessed an outflow of INR 19 billion. Secondary equities also witnessed an outflow of INR 8 billion. Among other categories, mutual‑fund inflows were up a modest INR 2.4 billion and alternative‑investment funds were largely flat.  This is the fifth consecutive week of FII inflows – amongst the longest runs of positive inflows in 2025.

FPI flows for the week ended 2025-11-07: INR 10.9 billion

In the past week, Indian markets witnessed a modest net inflow of INR 10.89 billion from foreign investors. IPOs continue to be the key driver. Primary purchases led to a new inflow of INR 35.82 billion. While some of it was tempered by net outflows from secondary equity sales, equity overall added INR 27.57 billion. On the other hand, debt turned negative with an outflow of INR 18.9 billion. Mutual‑fund inflows were modest at INR 2.44 billion. While the inflows were moderate compared to the recent peaks, this was the fifth consecutive week of FII inflows.

Figure: FPI/FII flows for the week ending 2025-11-07

Asset Class	Net Investment (INR Billions)
All_Foreign_Investors	10.89
All_Foreign_Investors.Debt	-18.9
All_Foreign_Investors.Equity	27.57
All_Foreign_Investors.Equity.Primary	35.82
All_Foreign_Investors.Equity.Secondary	-8.25
All_Foreign_Investors.Mutual_Fund	2.44
All_Foreign_Investors.Hybrid	-0.22
All_Foreign_Investors.AIF	0.0

Source: NSDL

Figure: Recent history of FPI flows

Week Ending	Net Investment (INR Billions)
07 Nov, 2025	10.89
31 Oct, 2025	43.61
24 Oct, 2025	11.51
17 Oct, 2025	167.29
10 Oct, 2025	71.71
03 Oct, 2025	-6.87
26 Sep, 2025	-182.63
19 Sep, 2025	129.4
12 Sep, 2025	27.4
03 Sep, 2025	-17.9

Source: NSDL

Figure: History of FPI flows

Source: NSDL

 

FPI flows in Equity for the week ended 2025-11-07: INR 27.6 billion

Last week, FII inflows into equity were strong at INR 27.6 billion. This was driven by a strong primary purchase of INR 35.8 billion that more than offset secondary sales of INR 8.2 billion. This marks a clear reversal from the previous week’s modest outflow of INR 8.7 billion, where secondary sales again dominated. The extraordinarily strong year for IPOs continues to drive the FII inflows in equities in 2025.

Over the past ten weeks, FIIs have been net sellers in secondary equities. However, primary equities significantly offset the pressure. FII outflows from secondary equities have happened for two consecutive weeks. On the other hand, FII inflows in primary equities improved significantly last week.

Figure: Recent history of FPI flows in equity

Week Ending	FPI.Equity	FPI.Equity.Primary	FPI.Equity.Secondary
07 Nov, 2025	27.6	35.8	-8.2
31 Oct, 2025	-8.7	0.3	-9.0
24 Oct, 2025	5.3	1.0	4.4
17 Oct, 2025	67.1	45.9	21.2
10 Oct, 2025	60.8	48.7	12.0
03 Oct, 2025	-67.8	14.8	-82.6
26 Sep, 2025	-157.1	13.7	-170.8
19 Sep, 2025	29.4	11.5	17.9
12 Sep, 2025	25.0	1.4	23.5
03 Sep, 2025	-32.7	2.3	-35.0

Source: NSDL

Figure: History of FPI flows in equity

Source: NSDL

 

FPI flows in Debt for the week ended 2025-11-07: INR -18.9 billion

The latest weekly data shows a net outflow of INR ‑18.9 billion from foreign investors in the Indian debt market for the week ending 7 Nov 2025, breaking a five‑week streak of positive flows. The outflow follows a strong inflow of INR 52.0 billion in the prior week. Overall, however, the debt market has been buoyant, with eight of the last ten weeks registering net purchases.

 

Figure: Recent history of FPI flows in debt

Week Ending	Net Investment (INR Billions)
07 Nov, 2025	-18.9
31 Oct, 2025	52.0
24 Oct, 2025	3.6
17 Oct, 2025	81.8
10 Oct, 2025	5.9
03 Oct, 2025	58.9
26 Sep, 2025	-20.0
19 Sep, 2025	96.2
12 Sep, 2025	2.4
03 Sep, 2025	22.9

Source: NSDL

 

Figure: History of FPI flows in debt

Source: NSDL