Foreign investors pulled $599 million from Indian stocks in July
Non-ETF India-dedicated funds lost $599 million in July 2025, as foreign investors continued to pull money out—bringing this year's total withdrawals from Indian stocks to nearly $11 billion.
The IT sector alone saw over half of these exits.
IT sector hit hardest
When big investors leave, it can shake up market liquidity and impact how stocks are valued, especially in key sectors like tech.
While global emerging market funds attracted more money last month, India's share actually shrank—suggesting that international interest may be shifting elsewhere.
China-focused funds saw big inflows
Investors appear to be favoring other markets for now. China-focused funds pulled in a hefty $4.3 billion, while India's slice of major emerging market portfolios dropped noticeably.
On the bright side, ETFs tied to India still saw some inflows, partly balancing out the overall trend.