Overview
- NSDL data show Rs 11,820 crore of FPI equity outflows in early December, taking year‑to‑date withdrawals to Rs 1.55 lakh crore.
- Analysts cite a nearly 5% rupee depreciation this year as the main trigger, with year‑end portfolio rebalancing and delays in an India–US trade deal adding pressure.
- Domestic institutional investors bought Rs 19,783 crore of equities in the same period, largely offsetting the foreign selloff.
- After the RBI cut rates by 25 bps on December 5 and lifted its FY26 growth view to 7.3% while trimming its inflation outlook to about 2%, FPI flows turned positive for the day at Rs 642 crore.
- In debt, FPIs invested Rs 250 crore under the general limit and withdrew Rs 69 crore via the VRR, as markets watch rupee moves and potential Fed easing that analysts say could steady flows.