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FPIs return to Indian equities with ₹20,200 cr in July
After four months of selling, FPIs bought ₹20,200 crore in Indian equities in July. Analysts cite stable markets, improving earnings, and a softer dollar.
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Foreign portfolio investors turned net buyers of Indian stocks in July, pumping in ₹20,200 crore after four straight months of selling. The reversal follows a record ₹1.17 lakh crore outflow in March and combined withdrawals of ₹1.43 lakh crore in April through June, according to data from the Central Depository Services (India) Ltd.
Even with the July inflow, FPIs have pulled a net ₹2.54 lakh crore from Indian equities so far this calendar year – well above the ₹1.66 lakh crore they withdrew in all of 2025.
V K Vijayakumar, Chief Investment Strategist at Geojit Investments, said the shift reflects a search for stability. “Excessive volatility in markets such as South Korea and Taiwan, coupled with concentration risk in the chip trade, is prompting FPIs to look for relatively stable markets like India,” he said. He also cited the rupee’s stability and what he called fair valuations of large-cap stocks as factors.