Net selling by FPIs till date in July at Rs.7432 crore

18 Jul 2022 , 09:00 AM

Foreign investors are remaining wary of the Indian equity market and have already withdrawn more than Rs7,400 crore this month as a result of the continuing rise of the currency and growing worries about a US recession. This follows a net sale of Rs50,203 crore from stocks in June.

Over the past nine months, there has been a withdrawal of foreign capital from the Indian equity market. Data from depositories show that between July 1 and 15, FPIs withdrew a net amount of Rs7,432 crore from Indian equities.

In June, FPIs pulled a net Rs50,203 crore out of the stock market. Since they withdrew Rs61,973 crore in March 2020, this was the largest net outflow.

With the most recent withdrawal, FPIs’ net outflow from stocks this year has increased to a record-high amount of around Rs2.25 lakh crore.

Prior to this, records showed that they withdrew Rs52,987 crore during the course of 2008.

FPIs also withdrew a net amount of Rs879 crore from the debt market during the review period in addition to equity investments.

There have been sporadic weekly net inflows, but the main cause of them, according to him, is FPIs parking their investments in the wake of persistent concerns.