Foreign Investors Make Strong Comeback in Indian Markets with ₹53,739 Crore Investment in November
Foreign portfolio investors return to Indian markets with significant investments, reversing previous trends of withdrawal.
Mumbai, November 10 (Daily Kiran) : Foreign portfolio investors (FPIs) have made a notable return to the Indian stock market this November, emerging as net buyers. In just the first nine days of the month, they invested ₹53,739 crore. This shift comes after FPIs were net sellers for two consecutive months prior.
The renewed interest from FPIs is attributed to improving investor sentiment towards Indian markets and a retreat from AI-focused investments. In October, FPIs withdrew ₹34,843 crore, while September saw a withdrawal of ₹35,861 crore.
Analysts suggest that recent sell-offs in major global markets, including the U.S., South Korea, Taiwan, and Japan, were driven by concerns surrounding artificial intelligence (AI). This prompted investors to reassess their allocations.
Concerns regarding spending on data centers related to AI have led to declines in AI-centric markets, prompting global investors to seek opportunities in sectors less tied to AI themes. India is viewed as a prime destination for non-AI investments, making it increasingly attractive for foreign investors during this period.
In addition to shifting global investment trends, strong earnings growth among Indian companies and the attractive valuation of large-cap stocks have further enhanced investor interest.
During this period, FPIs were particularly active in major index stocks, with notable gains in the financial services, information technology, automobile, and telecommunications sectors.
According to depository data, the ₹53,739 crore investment was recorded over six trading sessions from November 2 to November 9.
Despite this robust buying activity in November, FPIs have still withdrawn a substantial total of ₹2.41 lakh crore from the Indian stock market in 2026 so far.
In the debt market, foreign investors invested ₹7,759 crore through the Fully Accessible Route (FAR). However, they also withdrew ₹591 crore via the Voluntary Retention Route (VRR) and ₹270 crore through the general route.
Market participants believe that the continuous growth in corporate earnings and the reasonable valuation of large-cap stocks could support foreign investment in the Indian stock market in the near future. However, global macroeconomic developments and investor sentiment towards risk assets will be critical factors to monitor.
