Mumbai: Foreign portfolio investors (FPIs) remained net buyers of Indian equities in April. As per the data released by the National Securities Depository Ltd (NSDL), FPIs purchased shares worth Rs 11,631 crore ($1.42 billion) on a net basis in April. This is the highest purchase by FPIs since November 2022.
FPIs also invested Rs 806 crore and Rs 1,235 crore in debt and debt-VRR instruments in April. FPIs are net sellers in a hybrid market with an outflow of Rs 126 crore. Overall, in April, FPIs investment broadly in the Indian market is around Rs 13,545 crore (including inflows of equities, debt, debt-VRR, and hybrid).
FPIS remained buyers in the Indian markets for second consecutive month. FPIs were net buyers in March this year also.
Year-to-date, FPIs are net sellers in Indian equities with an outflow of Rs 14,579 crore. The highest-selling month of 2023 is January. In January this year, FPIs withdrew Rs28,852 crore from Indian markets. In February, FPIs sold Rs 5,294 crore.
Foreign institutional investors (FII) or Foreign portfolio investors (FPI) are those who invest in the financial assets of a country while not being part of it. On the other hand, Domestic Institutional Investors (DII) are those who invest in the country they are living in. Both types of investors can impact the economy’s net investment flows.