Rise in repatriation of funds is a sign of a mature market, says RBI Guv on moderation of net FDI

Net foreign direct investment (FDI) moderated, RBI governor noted in his monetary policy speech. Reserve Bank Governor Sanjay Malhotra said on Friday that India continues to remain an attractive investment destination and rise in repatriation of funds is a sign of a mature market where foreign investors can enter and exit smoothly. It is germane to point out that this moderation is on account of a rise in repatriation in net outward FDI while gross FDI actually increased by 14 per cent, he stated. In 2024-25, foreign portfolio investment (FPI) to India dropped sharply to 1.7 billion US$, as foreign portfolio investors booked profits in equities, he further noted.

 

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