March 2026 saw ₹2.95L/cr withdrawn from India debt mutual funds
March 2026 saw a massive ₹2.95 lakh crore pulled out from India's debt mutual funds — a 50% jump from last year.
Most of this came from companies moving their money at the end of the financial year and some investors may have shifted funds toward equities as markets shifted.
Liquid funds were hit hardest, losing ₹1.35 lakh crore, partly because banks, NBFCs, and corporates were holding extra liquidity as a precaution amid geopolitical uncertainty.
Experts expect April rebound, equity inflows
Experts are not too worried: they expect things to bounce back in April, since big March withdrawals are pretty normal for this time of year.
Meanwhile, equity funds actually gained ₹3.46 lakh crore over fiscal 2026, showing that more people are betting on stocks lately.
Hybrid and index funds also saw solid inflows during this period.