The Foreign Portfolio Investment (FPI) in India has recorded the net outflows of US$ 16.4 billion in 2025-26 as against net inflows of US$ 3.6 billion a year ago, data from the Reserve Bank of India (RBI) said.
Further, in 2025-26, the foreign exchange reserves depleted by US$ 23.6 billion, on a BoP basis, as compared with a depletion of US$ 5.0 billion a year ago, the RBI data said.
Net Foreign Direct Investment (FDI) inflows increased to US$ 6.9 billion in 2025-26 from US$ 1.0 billion in 2024-25.
India’s current account deficit stood at US$ 25.2 billion (0.6 per cent of GDP) in 2025-26 as compared to US$ 22.9 billion (0.6 per cent of GDP) during 2024-25.
Net invisibles receipts were at US$ 312.0 billion were higher in 2025-26 than US$ 264.0 billion a year ago, primarily on account of net services receipts and net personal transfers.
The RBI data further said the foreign exchange reserves increased by US$ 7.2 billion (on a BoP basis) in Q42026 as compared to an accretion of US$ 8.8 billion in Q42025.
Overseas investment in Indian markets at 10-year-low
According to the data from National Securities Depository Ltd, the overseas investment in the Indian equity markets has slumped to a 10-year-low after relentless selling showing fading attractiveness of the country’s $4.9 trillion stock market.
The aggregate net investments by foreign portfolio investors in local shares stood at Rs 7.3 trillion as of June 1, the lowest level since 2016.