FPIs infuse Rs 2,200-cr in just 5 trading sessions

Foreign investors have poured in nearly Rs 2,200 crore in the Indian capital markets in the last five trading sessions on better economic growth prospects and continuous fall in crude prices.

This comes on top of a net inflow of Rs 5,323 crore in equities and debt witnessed during the last month.

Prior to that, Foreign Portfolio Investors (FPIs) had pulled out a net amount of Rs 1,608 crore in June, after a much higher net outflow of Rs 14,272 crore in May.

The net investment by FPIs in equities stood at Rs 1,552 crore between August 3-7, while the same was at Rs 631 crore in the debt markets during the same period, translating into a net inflow of Rs 2,184 crore, as per data available with the depositories.

According to the market analysts, rout of Chinese equities and crisis in Greece has helped foreign investors to flock to the Indian markets.

In addition, decline in crude and gold prices may help the country further bring down its twin deficits, boost individual savings and increase consumers purchasing power, they added.

Overall, experts are bullish on FPI inflows in the Indian capital markets in the long term.

Since January 2015, overseas investors have invested a net amount of Rs 45,952 crore in the equity markets and Rs 39,982 crore in the debt markets.