InvestorQ : Is it true that foreign investors are heavily investing into India in August 2020?
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Is it true that foreign investors are heavily investing into India in August 2020?

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3 months ago
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In fact, foreign portfolio investors or FPIs as they are popular known are back with a bang. In what looks like a real turnaround for India dedicated equity flows, FPIs did a net investment of Rs.41,330 crore during the first three weeks of August.

More than 97% of the infusion was into equities but the good news was that the net flows into debt were finally positive albeit marginal. FPIs have pumped in Rs.40,300 into equities and a marginal Rs.1100 crore into debt in month of August till date.

One can argue that these flows were driven partially by the Bandhan Bank share placement, which was substantially lapped up by the FPIs. However, global liquidity has also been instrumental in big money flows coming into the Indian markets on liquidity push.

The global investors have also been enthused by the Indian economy getting back to near-normal levels of output. The rupee holding strong has also helped in the process.

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