Foreign Portfolio Investors Withdraw Over ₹1.5 Lakh Crore from Indian Markets in 2025

Foreign Portfolio Investors (FPIs) recorded significant outflows from Indian equities and bonds throughout 2025. By 12th December, FIIs had been net sellers on 141 of 234 trading days, with total net outflows reaching ₹1,52,273 crore.

This figure indicates approximately ₹110 crore exited the Indian market every trading hour, with a peak single-day outflow of ₹5,386 crore on 10th December. Key concerns driving this trend included the depreciation of the Indian rupee and elevated domestic equity valuations.

Rohit Srivastava of Indiacharts.com noted that while rupee weakening and FPI selling are interconnected, the underlying current account deficit and reserve positions are healthier than in previous years. He also highlighted that market valuations are highly sector and stock-specific, rather than indicating an overall "extremely overvalued" market. Certain sectors, such as banking, have seen renewed interest due to attractive valuations.