2 weeks ago
FPIs Invest ₹16,621 Crore in Indian Equities in August
Foreign investors are people and companies from other countries who buy small pieces of companies in India, called shares.
For most of this year, they were selling more shares than they were buying, meaning money was leaving India.
In the first half of August 2026, they bought Indian shares worth ₹16,621 crore, which is a very large amount of money.
They had also bought more shares in July after selling heavily from March to June.
Experts say investors came back because Indian shares look like good value compared with other markets.
Companies in India are also earning steady profits, and the United States may lower interest rates, which helps.
Lower oil prices and a calmer currency made investors feel safer too.
Still, overall this year they have taken more money out of India than they have put in.
Investors will keep watching things like US interest rates and oil prices to decide what to do next.
Foreign Portfolio Investors (FPIs) invested ₹16,621 crore in Indian equities during the first half of August 2026.
The inflow follows ₹20,200 crore in July, ending a four-month streak of heavy selling.
FPIs had withdrawn ₹1.17 lakh crore in March, ₹60,847 crore in April, ₹32,963 crore in May and ₹49,340 crore in June.
Despite the rebound, FPIs remain net sellers in 2026, with outflows of about ₹2.4 lakh crore so far, exceeding the ₹1.66 lakh crore withdrawn in all of 2025.
Experts attribute the reversal to improving valuations, resilient earnings, expected US rate cuts, softer crude and lower currency volatility; FPIs also invested ₹1,041 crore in debt.
- Who
- Foreign Portfolio Investors (FPIs), with commentary from market experts such as Manish Bhandari (Vallum Capital), Vedant Gupte (Trackk) and Pabitro Mukherjee (Bajaj Broking).
- What
- FPIs poured ₹16,621 crore into Indian equities in the first half of August 2026, continuing a rebound after four consecutive months of heavy selling.
- Where
- Indian equity and debt markets.
- When
- First half of August 2026; the article was published on August 16, 2026.
- Why
- Improving relative valuations, resilient corporate earnings, expectations of softer US interest rates, softer crude prices and lower currency volatility; analysts say earlier selling reflected global macro factors rather than concerns about India.
Key facts
- FPI equity inflows (Aug 1-15, 2026)
- ₹16,621 crore
- FPI equity inflows (July 2026)
- ₹20,200 crore
- Monthly FPI outflows (Mar-Jun 2026)
- ₹1.17 lakh crore, ₹60,847 crore, ₹32,963 crore, ₹49,340 crore
- FPI inflows (February 2026)
- ₹22,615 crore
- Net FPI outflows in 2026 so far
- ≈₹2.4 lakh crore
- Total FPI outflows in 2025
- ₹1.66 lakh crore
- FPI debt inflows (Aug first half)
- ₹1,041 crore (₹972 crore FAR + ₹69 crore general route)
- Sectors attracting interest
- Consumer Services, Healthcare, Consumer Durables, Metals & Mining, IT
Quotes
Manish Bhandari
CEO and Portfolio Manager, Vallum Capital
“The key drivers are improving relative valuations, resilient corporate earnings, expectations of softer US rates, lower currency volatility and some diversification away from crowded Korea-Taiwan AI trades. AI became a magnet of all capital across the world.”
thehindubusinessline.com
thehansindia.com
“The August inflows suggest that the earlier selling was more a function of global macro factors than concerns over India.”
thehansindia.com











