Foreign fund inflows in Indian stocks highest after 20 months in August
Meanwhile, FPIs have turned net buyers in Indian equity markets for two consecutive months through August and helped domestic indices to stay buoyant.
In May so far, the Indian equity markets experienced the highest outflows in Asia with foreign institutional investors (FIIs) withdrawing funds to the tune of USD 2.89 billion.
Notably, this marks the highest monthly FII outflow since January 2024.
In terms of the other Asian countries, Indonesia witnessed $700 million in selling, Vietnam $415 million, Thailand around $210 million, and the Philippines around $58 million in equity markets.
Advertisement
However, among buyers, FIIs purchased $7.59 billion in Japan, $6.26 billion in Taiwan, $1.44 billion in South Korea, and $542 million in Malaysia’s equity markets.
Sensex rose by 0.9%, and Nifty by 1.25% so far in May. Across Asia, Hang Seng surged by 5.8%, Kospi by 1.1%, Jakarta by 0.3%, while Shanghai declined by 2%.
Topix index and Nikkei in Japan advanced by 1% and 1.2%, respectively.
Experts believe that the election outcome will likely prompt FIIs to reinvest in India, particularly if there’s a clear majority for the current government.
In the year so far, in the Indian market, FIIs have sold Rs 119,612 crore worth of shares while the DIIs have bought Rs 197,484 crore.
Advertisement
