Move to benefit investors from countries and regions like Mauritius, Cayman Islands who are eyeing Category-I licence
According to the schedule, 19 states had lined up to borrow up to Rs 37,500 crore, but they managed to raise Rs 32,560 crore.
Dealers say the huge supply is a concern at a time when volumes have thinned because of Covid
Market players said the higher limits have potential to attract billions in overseas flows but it may not play out immediately
The share of such funds among overall foreign holdings had risen over the last 18 months
Experts believe foreign investors are withdrawing from riskier assets and are opting for safe heavens like dollar-denominated asset classes and gold
Prior to this, foreign investors were net buyers for six consecutive months since September 2019
Mauritius has been doing its bit to showcase its compliance with international tax norms in the past year. It includes measures, such as stepping up scrutiny of offshore fund structures.
The math of index inclusion flows depends mainly on the global fixed income benchmarks that could consider India eligible for inclusion; and, the scale/mode of issuance of the new "special securities"
The inflow through P-notes in December was the lowest since February 2009, when the cumulative value of such investments stood at Rs 60,948 crore.
Earlier in September, the regulator had broad-based the classification for foreign portfolio investors and simplified their registration process.
Experts say not taking markdown can benefit savvy investors that exit exposed schemes
In 2019, FPIs invested a net sum of Rs 73,276.63 crore in the domestic markets (both equity and debt)
Existing limit for FPI investment in G-secs is 6% of the outstanding stocks of securities; govt may announce increase to 10% in Union Budget 2020
FPIs would continue to be watchful of the domestic environment and tread cautiously
FPIs had invested a net sum of Rs 16,037.6 crore in October and Rs 6,557.8 crore in September
Overseas investors pumped in a net sum of Rs 17,547.55 cr into equities and Rs 175.27 cr in the debt segment during November 1-22, taking the cumulative net investment to Rs 17,722.82 cr
Himanshu Srivastava, senior analyst manager research at Morningstar Investment Adviser India said, mainly the domestic factor led to the foreign inflows
Company may at best consider picking up stakes in coking coal companies instead of going for an outright purchase
Under the new norms, all insurance entities and funds from FATF member countries have been classified as category-I FPIs