Strong domestic growth will continue to draw foreign investment into the Indian economy, Reserve Bank of India (RBI) Governor Sanjay Malhotra said on Tuesday. He said this was reflected in recent free trade agreements and investment commitments by large technology companies.
A working paper by the Economic Advisory Council to the Prime Minister (EAC-PM) reveals a continuous decline in the rate at which foreign-owned firms invest in fixed assets in India since the FY20 peak, contrasting with a steady increase from Indian business groups.
Foreign institutional investors have withdrawn nearly $40 billion from Indian equities in the last two years and, according to Bernstein analysts, have 'little reason' to invest for the long-term, though they may 'return to trade'. The brokerage highlights challenges such as struggling large-caps, disruption from new technologies, and difficulties accessing small- and mid-caps (SMIDs) at an institutional scale.
West Bengal could be the Bharatiya Janata Party's real test case of its business-friendly policies, points out Kanika Datta.
The Enforcement Directorate has seized Rs 3.45 crore in cash during searches against Karnataka PWD Minister Satish Jarkiholi, his family, and associates in a FEMA investigation. The probe concerns alleged undisclosed overseas investments, cross-border business links, and collection of bribes from PWD contractors, with the minister denying wrongdoing and alleging political targeting.
Finance Minister Nirmala Sitharaman announced that India is set to introduce a new, more investor-friendly bilateral investment treaty (BIT) framework, which is expected to receive Cabinet approval shortly, aiming to provide sharper protection for investors from both sides.
Indian benchmark equity indices, Sensex and Nifty, significantly recovered from sharp early losses, driven by buying in State Bank of India and Reliance Industries, alongside fresh foreign fund inflows, despite declines in Axis Bank and HDFC Bank.
Indian benchmark indices, Sensex and Nifty, recorded their fourth consecutive day of losses, driven by relentless foreign institutional investor (FII) outflows, rising bond yields, and a significant surge in crude oil prices, impacting overall investor sentiment.
Indian equity benchmark indices, Sensex and Nifty, extended their losses for a second consecutive day, driven by elevated crude oil prices, persistent foreign institutional investor (FII) outflows, and high US Treasury yields.
Former Pakistan Test captain Misbah-ul-Haq has criticised the differential treatment of foreign and local coaches in Pakistan cricket, stating that foreign coaches enjoy more authority and less scrutiny. He also highlighted the need for consistency, patience, and long-term planning, drawing comparisons with India's successful cricket development model.
The United Arab Emirates (UAE) has expressed intent to invest an additional $25 billion in India, with an ultimate goal of reaching $100 billion in investments, Union Minister Piyush Goyal announced. This comes as both nations plan to enhance cooperation in shipping, ports, energy, and emerging technologies, against a backdrop of expanding bilateral trade.
Maharashtra Deputy Chief Minister Eknath Shinde concluded a two-day visit to the UK, focusing on attracting foreign direct investment and promoting the state's economic potential. His engagements included receiving leadership awards, meeting with sports figures like Virat Kohli to discuss Olympic aspirations, and appealing to British investors to bring technology and capital to Maharashtra, leveraging the India-UK FTA.
Foreign portfolio investors (FPIs) turned net sellers in the first week of September, withdrawing Rs 7,443 crore from Indian equities, driven by rising crude oil prices, increasing US bond yields, and a strong dollar.
If India does get $100 billion a year in FDI, it would be a game-changer in every possible way. FPIs would come rushing back, AI or no AI, points out Debashis Basu.
Cricket Australia has announced that private investment will be introduced into the Big Bash League (BBL) from the 2027-28 season, beginning with the sale of the Melbourne Renegades T20 franchise, a move aimed at strengthening the league's long-term future and boosting finances.
Atomic Energy Commission Chairman Ajit Kumar Mohanty announced that India's private sector is projected to invest Rs 7.5 lakh crore and contribute 30 GW towards the nation's goal of achieving 100 GW nuclear power capacity by 2047. This marks a significant policy shift, facilitated by the SHANTI Act, encouraging private participation in nuclear energy beyond the traditional public sector model. The country is also exploring Small Modular Reactors (SMRs) for industrial needs and advancing its three-stage nuclear power programme, leveraging its substantial thorium reserves.
Indian benchmark indices, Sensex and Nifty, traded marginally higher in early trade despite the US Federal Reserve's recent rate hike and indications of further tightening, with the National Stock Exchange's much-anticipated Rs 22,569-crore IPO also opening for subscription.
Indian benchmark indices Sensex and Nifty experienced declines in early trade, influenced by the Reserve Bank of India's (RBI) recent repo rate hike and its signal for continued monetary tightening, coupled with rising crude oil prices and foreign fund outflows. Track Sensex, Nifty on October 8.
The Finance Ministry has clarified that the decision to impose a 0.4% Merchant Discount Rate (MDR) on UPI transactions above Rs 2,000 was made independently, refuting claims of foreign influence. The ministry stated the policy aims to build a self-sustaining digital payments ecosystem, with MDR funding infrastructure and supporting small merchants.
Sustained selling by foreign investors is weighing on domestic equities, with the benchmark Sensex and Nifty 50 down 15.60 per cent and 14.4 per cent, respectively, this year.
Foreign investment in bonds issued by Indian corporates touched a 10-year high in May at 20,996 crore, driven by $3.35 billion fundraise by the Shapoorji Pallonji (SP) group, which saw infusion from Deutsche Bank, BlackRock, Morgan Stanley, Davidson Kempner, and Cerberus Capital, among others. The SP group sold three-year bonds, offering 19.75 per cent yield compounded annually and payable at maturity.
Indian benchmark indices Sensex and Nifty experienced a significant downturn in early trade, with the Sensex tanking 730 points, driven by surging crude oil prices, escalating geopolitical uncertainties, and a weak trend observed across Asian markets.
Foreign Portfolio Investors (FPIs) have withdrawn Rs 44,166 crore from Indian equities in October, pushing the total outflows for the year past Rs 3 lakh crore, driven by elevated crude oil prices, a stronger US dollar, higher US bond yields, and the allure of AI-led rallies in North Asian markets.
Foreign Portfolio Investors (FPIs) have significantly increased their investment in Indian equities, infusing Rs 23,544 crore in August, driven by improving quarterly earnings, a stable rupee, and positive market prospects.
A foreign brokerage predicts that private investments in Indian AI startups are rapidly growing, with potential listings adding up to USD 100 billion to India's market capitalisation over the next two to five years. Goldman Sachs reported a tripling of PE investment in Indian AI startups in 2025 and highlighted India's rising global rank in AI funding and new AI companies.
Indian companies, including NBFCs, filed proposals to raise $7.696 billion through external commercial borrowings (ECBs) and foreign currency convertible bonds (FCCBs) in July 2026, a significant increase from $6.09 billion in June.
Russian President Vladimir Putin has proposed a new investment platform, based on the New Development Bank (NDB), to fund projects in trade, infrastructure, logistics, and technology across BRICS nations, emphasising that the grouping's expanding economic cooperation is not 'against anyone' but aims to advance members' national interests.
Indian equity benchmarks Sensex and Nifty rallied up to 1 per cent in early trade, driven by strong performance in IT stocks, Reliance Industries, and favourable global market sentiment, rebounding from previous losses.
India's fresh investment plans in Q1FY27 surged 71 per cent to 14.77 trillion, primarily driven by four large nuclear power projects worth 6.5 trillion, according to investment monitoring firm Projects Today. Excluding these nuclear projects, fresh investment plans actually declined 4.27 per cent quarter-on-quarter.
'You have to get private investment to somewhere between 35% to 36% of GDP. It is hovering about 30%-31%.'
Indian equity benchmark indices extended losses for a second consecutive session, with the Sensex dropping 143 points, driven by a sell-off in power, banking, and financial stocks, coupled with elevated crude oil prices and persistent FII selling.
The rules require nuclear plant operators to maintain an insurance policy, financial security or a combination of both to cover civil liability for nuclear damage.
Finance Minister Nirmala Sitharaman stated that the Reserve Bank of India (RBI) will persist in its efforts to prevent excessive volatility in the rupee, which has significantly depreciated against the US dollar due to global uncertainties, despite India's strong macro-economic fundamentals.
Equity mutual fund schemes recorded a net inflow of Rs 38,306 crore in September, a 31 per cent increase from the previous month, driven by strong investor interest in mid-cap and small-cap funds despite stock market volatility and foreign portfolio investor (FPI) sell-offs.
Jio Platforms' initial public offering has shattered global records by receiving over one crore applications, underscoring immense investor confidence in the company's ambitious plans for technology, AI, and cloud services, with the IPO subscribed almost seven times overall.
'The Indian market has struggled over the past two years.' 'It peaked in September 2024, and although it has moved up and down since then, investors have not really made money.'
The Indian Cabinet has approved Fairfax Financial Holdings' Rs 52,878 crore bid to acquire a 60.72 per cent stake in IDBI Bank, marking the country's largest foreign direct investment in the financial sector.
Indian mutual fund holdings in overseas equity securities increased by 37.5 per cent year-on-year to approximately '93,602 crore by March-end, according to RBI data. This growth is attributed to mark-to-market gains from a global market rally and heightened investor interest, with the US remaining the primary destination for these investments.
Institutional investments in India's housing market plummeted by 85 per cent to USD 154 million in the first half of 2026, while overall real estate inflows saw a modest 6 per cent increase, driven primarily by domestic investors and strong interest in office and data centre projects.
That means making it easier to invest, protecting investors through predictable rules, and avoiding policy reversals after investments have been made, notes Rajeswari Sengupta.
