Foreign portfolio investors (FPIs) have infused Rs 4,223 crore in the Indian market in April 2025. Notably, April was the first month of this calendar year, which saw the inflows from foreign investors. However, taking the cumulative data of 2025 till now, these investors have sold equities worth over Rs 1.12 lakh crore from Indian markets in 2025 so far, according to data available on the website of National Securities Depository Limited (NSDL).
Prior to the month of April, there was the persistent selling trend by foreign investors, which suggests concerns over the Indian market conditions, domestic economic factors, and interest rate trends.
In January, the FPIs withdrew Rs 78,027 crore from the Indian stock market. They sold shares worth Rs 34,574 crores in February and Rs 3,973 crore in March. Last year, in December the net investment by FPIs in Indian equities stood positive, with a net investment of Rs 15,446 crore.
The year 2024 marked a positive ending, but the net buying value in Indian equities by FPIs declined sharply, declining to Rs 427 crore.
After the continuous selling spree by foreign investors, this inflow has eased the pressure among market participants. This suggests the cooling of global uncertainties, and concerns over global trade tensions.
How It Can Impact Share Market?
Inflows from foreign investors can positively impact liquidity in the share market. Foreign investors typically focus on companies with strong growth potential, which can increase demand for their shares.
India’s benchmark indices, Sensex and Nifty 50, settle down almost flat on Wednesday, April 30, 2025 as the tensions between India and Pakistan continue to escalate. The Sensex (index with top 30 firms) tumbled 46.14 points to settle at 80,242.24 points. Meanwhile, Nifty50 (index with top 50 firms) was down 1.75 points to settle at 24,334.20 points.
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