Indian stocks saw foreign investors withdraw Rs 12,257 crore (USD 1.4 billion) in the first week of September.
The total amount of money that foreign portfolio investors (FPIs) have left the stock market in 2025 is Rs 1.43 trillion, according to data from the depositories. This was in response to net outflows of Rs 17,700 crore in July and Rs 34,990 crore in August.
Key Highlights
- Foreign Portfolio Investors withdrew ₹12,257 crore from Indian equities in early September, pushed by strong dollar and tariff concerns.
- Despite strong GDP growth, weak earnings and geopolitical risks heightened FPI outflows to ₹1.43 lakh crore so far in 2025.
A stronger dollar, worries about US tariffs, and ongoing geopolitical tensions are all factors weighing down the movement in FPIs.
The government's rationalisation of GST rates and the positive first-quarter GDP data of 7.8% helped to ease the anxiety of foreign investors.
According to the data, during the period under review, FPIs invested Rs 1,978 crore in the debt general limit and withdrew Rs 993 crore through the debt voluntary retention route.
Also Read: FIIs Exit Indian Equities With $2.9 Bn Outflow in July; IT Bears the Brunt
US Fed commentary, US labor market data, RBI rate cut expectations, and its position on rupee stability are all anticipated to have a significant impact on FPI flows in the upcoming week.