Archive · 20 Jul 2026
India's Foreign Investment Inflows Expected to Rebound in FY27
A report says that India is expected to see more foreign investment in the next financial year, FY27.
This is a big improvement from the previous year, FY26, when there was a lot of money leaving the country.
The report explains that more money is coming in through investments, and less is going out.
The government and the central bank have also made some changes that should help attract even more investment.
This could help India's overall financial situation improve.
Foreign portfolio investment (FPI) flows into India are expected to rebound in FY27 after a $16 billion outflow in FY26.
Net FDI is projected to rise from $7 billion in FY26 to $15 billion in FY27, supported by increased gross inflows and moderated repatriation outflows.
Gross FDI rose 18% year-on-year in FY26 to $94.8 billion, with April 2026 inflows up 65% to $15.3 billion.
Repatriation outflows have moderated from 51.6% in FY24 and 15.8% in FY25 to 5% in FY26.
Policy measures by the government and RBI are expected to attract significant inflows from FCNR(B), ECBs, and OFCBs, and incentivize FPI inflows.
- Who
- CareEdge Ratings, Rajani Sinha (Chief Economist)
- What
- Expected rebound in foreign investment inflows to India in FY27
- When
- FY27 (April 2026 - March 2027)
- Where
- India
- Why
- Healthy growth in gross FDI inflows, moderation in repatriation outflows, and policy measures
- FPI Outflow in FY26
- $16 billion
- Expected FPI Inflow in FY27
- Rebound from FY26
- Net FDI in FY26
- $7 billion
- Expected Net FDI in FY27
- $15 billion
- Gross FDI in FY26
- $94.8 billion
- April 2026 Gross FDI Inflows
- $15.3 billion
- Repatriation Outflow Growth in FY26
- 5%
- Expected FCNR(B), ECBs, OFCBs Inflows
- $45-60 billion