Foreign Investments

Cleaner balance sheets, regulatory support and strong growth prospects helped Indian private banks attract over $6 billion in foreign capital, with more deals expected in 2026

Foreign investors fled Indian equities in 2025 at a scale never seen before, pulling out a record Rs 1.6 lakh crore (USD 18 billion) as volatile currency movements, global trade tensions, especially potential US tariffs, and stretched valuations eroded risk appetite, though flows are expected to turn sustainably positive in 2026. Also, rising US bond yields, a stronger dollar and concerns over geopolitical uncertainties tilted global capital towards developed markets, away from emerging markets such as India. Despite the weak showing this year, market participants expect the trend to reverse in 2026. "We expect FPIs to return sustainably in India as nominal growth and earnings pick up in CY26. Closure of the trade deal with the US should narrow tariff differentials, while Fed rate cuts will keep the dollar soft, favouring emerging-market assets," said Garima Kapoor, deputy head of research and economist at Elara Securities India. Apart from global tailwinds, domestic factors are al

In the latest step, lawmakers passed a bill this week allowing up to 100 per cent foreign ownership of insurance firms, bolstering an industry long viewed as under-penetrated and capital-starved

Japanese company Toppan Speciality Films on Wednesday signed an agreement with the Punjab government to invest Rs 400 crore in the state as part of its expansion plan, according to an official statement. Chief Minister Bhagwant Mann, who is on a 10-day visit to Japan and South Korea, said Toppan Speciality Films Private Limited (TSF) and Invest Punjab have also agreed to support and collaborate to launch a skilling excellence centre in Punjab. This will be pivotal for strengthening industry-relevant skills and enhancing employability opportunities in Punjab, the statement quoted Mann as saying. The chief minister said it will give a thrust to imparting training aligned with current and emerging industry needs. Likewise, he said, it will also focus on high-end and technical skills not widely available and impart training certifications to meet industry and global standards. TSF will also provide financial assistance, technical inputs, training support, and curriculum design based o

There are also 10 reinsurers who are in their preliminary stages of discussion

India is not only the fastest-growing large economy in the world, it also has significant untapped potential for formal finance

While India allows 74% foreign investment in private banks, the shareholding of a single foreign institution is limited to 15% by the RBI unless the regulator gives exceptional approval

EcoEx's $4 million seed funding from Dovetail Global Fund and others will fuel tech upgrades, expansion, and ESG-aligned waste management solutions across India

The recommendation appears in the think tank's latest Tax Policy Working Paper Series - 1 released on Friday

DIIs' steady inflows, backed by retail investors and long-term capital, have made Indian markets more self-reliant and less vulnerable to global shocks

May sees Rs 20,996 crore in foreign corporate bond investments, led by SP Group's $3.35 billion issue; RBI's relaxed norms add to momentum

The block trades were well bought by overseas investors. They marked the highest monthly total in almost a year and a huge jump from only $220 million in April

Net FDI fell sharply due to higher repatriation and outward investments even as gross inflows rose 13.7% to $81 bn with 60% of flows going to four key sectors

The National Rifle Association of India (NRAI) is not averse to foreign entities buying stakes in the franchise-based Shooting League of India, said its president Kalikesh Singh Deo following a meeting of the federation to take key decisions on the event. The inaugural edition of the league is scheduled later this year. The International Shooting Sport Federation (ISSF), the global governing body for the sport, has officially allotted a November-December window for SLI and the event is likely to be organised from November 24 to December 7. A total of 6-8 city-based franchises will own the teams and bid for players via an auction. Each team will consist of 12 athletes (6 men, 6 women), including up to four foreign players (two men, two women). "We have started conversation with (prospective) franchises. But I don't see the reason why a foreign franchise would be interested; that they can't have a stake, given of course subject to any conditions in the law of the land," said Singh De

The degree of domestic versus foreign contribution to the consumption of a nation's economy

The government has clarified that an Indian company engaged in a sector where FDI is prohibited can issue bonus shares to its pre-existing foreign shareholders, provided there is no change in the shareholding pattern. The issuance of bonus shares must comply with the applicable rules, laws, regulations and guidelines, the Department for Promotion of Industry and Internal Trade (DPIIT) said. "An Indian company engaged in a sector/activity prohibited for FDI (foreign direct investment) is permitted to issue bonus shares to its pre-existing non-resident shareholders provided that the shareholding pattern of the non-resident shareholder does not change pursuant to the issuance of bonus shares," according to the DPIIT's clarification which is inserted in the FDI policy. It added that this clarification is with regard to the permissibility of issuance of bonus shares to existing foreign shareholders by Indian companies engaged in sectors prohibited for FDI. FDI in the country is allowed

FY25 wrap: At 6:34 AM, GIFT Nifty Futures were down 28 points at 23,749, suggesting a negative start

While global funds marked their first weekly purchase of local stocks in 2025 last week, they have been big sellers this year

Capital outflows are near their highest-ever figure in India; a debate has raged over whether capital gains tax in India contributed to foreign investor outflows