Indian Government Bond FPI Inflows Slow in July

In June, foreign investors poured a record amount of money into Indian government bonds, but in July that inflow slowed a lot.

The slowdown was because oil prices went up, which made the Indian currency weaker and made investors more cautious.

Also, the difference in interest rates between the US and India got smaller, so Indian bonds were less attractive.

Some investors were waiting to see if India would be added to a big global bond index.

As a result, the total amount of foreign money in Indian bonds fell to about 7,600 crore rupees in July, down from 41,800 crore in June.

The total value of all foreign holdings in Indian bonds was about 3.73 lakh crore rupees by the end of July.