'Indian mkts performed better compared to peers in 2013'

Interim budget notes that FIIs invested $12.13 billion in Indian markets in 2013

Helped by investor-friendly measures by the government and RBI, India's capital market was among the better performing markets compared to its peers in the emerging economies last year.

The interim Budget presented by Finance Minister P Chidambaram in Parliament today noted that the Indian capital market, in line with global trends, was affected by the tapering of Federal Reserve's stimulus programme.

However, it added that the investor-friendly measures taken by the government and the Reserve Bank gave a positive fillip to investor sentiment in the Indian market.

"As a result the Indian capital market has emerged as one of the better performing markets in the world in the year 2013, in comparisons to the other emerging markets," it added.

Besides, the Budget noted that Foreign Institutional Investors also reposed confidence in the Indian capital markets with investments of $12.13 billion.

FIIs added $20.10 billion in equities while they pulled out $7.97 billion from the debt market, resulting in total net flows of $12.13 billion.

"FIIs have also reposed their confidence in the Indian market manifested in positive net FII investment during the last four months of 2013, reversing the earlier trend of net outflow during the June-August period in the current year," the Budget noted.