Mumbai: Foreign Portfolio Investors (FPIs) sold Indian equities worth Rs 21,272 crore so far this month (till February 14).On the other hand, FPIs were buyers in the debt market during the period. They put in Rs 1,296 crore into debt general limit and Rs 206 crore in debt voluntary retention route.
This came following a net outflow of Rs 78,027 crore in January. With these, the total outflow by FPIs has reached Rs 99,299 crore — near Rs 1 lakh crore — in 2025 so far.
The overall trend indicates a cautious approach by foreign investors, who scaled back investments in Indian equities significantly in 2024, with net inflows of just Rs 427 crore. This contrasts sharply with the extraordinary Rs 1.71 lakh crore net inflows in 2023, driven by optimism over India’s strong economic fundamentals. In comparison, 2022 saw a net outflow of Rs 1.21 lakh crore amid aggressive rate hikes by global central banks.
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FPI outflows were recorded across most key emerging markets in February 2025, except for the Philippines and Thailand. India saw foreign outflows of $430 million, while Brazil, Indonesia, Malaysia, South Korea, Taiwan, and Vietnam registered outflows of $106 million, $202 million, $59 million, $41 million, $1,422 million, and $125 million, respectively. Meanwhile, the Philippines and Thailand recorded inflows of $21 million and $43 million, respectively.
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.
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