FPI outflows stands at Rs 1.12 lakh crore in 2025, promote Rs 34,574 crore price equities in February
NEW DELHI: Overseas portfolio traders (FPIs) maintained their promoting streak in February, pulling out Rs 34,574 crore from Indian equities, as per information from the Nationwide Securities Depository Restricted (NSDL).
The sell-off was significantly robust within the remaining week of the month, with FPIs offloading Rs 10,905 crore price of shares between February 24 and February 28. Nonetheless, on the final buying and selling day of the month, overseas traders turned internet patrons, pushing Rs 1,119 crore into the market.
Regardless of this, Indian inventory indices took a pointy hit on Friday, with each the Nifty and Sensex tumbling over 1.8 per cent.
Up to now in 2025, FPIs have offered equities price Rs 1,12,601 crore, signalling a steady outflow of overseas capital. The strengthening of the US greenback and considerations over India’s financial outlook have weighed closely on investor sentiment.
This extended FPI exodus has fuelled market volatility and shaken investor confidence. In January alone, FPIs pulled out Rs 78,027 crore, a stark distinction to December 2024, when overseas traders had been internet patrons with an influx of Rs 15,446 crore. Nonetheless, the 12 months ended on a weak notice, with total internet FPI investments in equities for 2024 plummeting to only Rs 427 crore.
Analysts attribute the relentless promoting to a number of international elements, together with rising US bond yields, financial uncertainties, and geopolitical dangers. A key driver of the shift is the resurgence of Donald Trump in US politics, which has bolstered confidence within the American financial system, prompting traders to maneuver funds away from rising markets like India.
The sharp decline in FPI inflows displays a broader development that traders are favouring safer property amid rising uncertainties. In 2024, internet FPI investments in India plunged by a large 99 per cent in comparison with the earlier 12 months, underscoring the challenges dealing with Indian markets.
