FPIs pull ₹17,417cr from Indian far bonds after Bloomberg delay
Foreign Portfolio Investors (FPIs) have yanked out ₹17,417 crore from Indian government bonds via the Fully Accessible Route (FAR) during September and October, a sharp turnaround from their earlier buying spree.
The move came amid uncertainty after Bloomberg postponed adding India to its Bloomberg Global Aggregate Index, plus pressures like elevated US Treasury yields, expensive oil, and a weaker rupee.
Sep ₹10,431cr Oct ₹6,986cr net ₹22,350cr
FPIs pulled out ₹10,431 crore in September and another ₹6,986 crore in October.
Just a few months back in June, they'd actually invested ₹21,652 crore thanks to friendlier tax rules.
But with Bloomberg's decision and global market jitters, investor mood flipped fast.
Still, because of strong inflows earlier this year, cumulative net investment in FAR securities is still up by ₹22,350 crore.