More Stories

Informist, Thursday, Aug. 28, 2025

--RBI: Jun gross FDI inflows $9.26 bln vs $7.17 bln May, $7.62 bln yr ago 

MUMBAI - Gross foreign direct investment into India rose to $9.26 billion in June from $7.17 billion a month ago and $7.62 billion a year ago, according to the Reserve Bank of India's bulletin released Thursday.

On a net basis, the FDI inflow was $1.08 billion in June, as against an outflow of $5 million in May and an inflow of $2.24 billion in June last year. Repatriation rose to $5.71 billion in June, compared to $5.01 billion in May and $4.06 billion a year ago. Net FDI is the difference between gross FDI, excluding repatriation, and investments by Indians overseas.

Outward FDI investments by India increased from a year ago in June, which limited net flows during the month. The net outward FDI by India increased to $2.48 billion from $2.17 billion the previous month and $1.32 billion a year ago.

Financial, manufacturing, insurance and business services were the major sectors for outward FDI. Most of the outward FDI went to Singapore, the UK, the US and the United Arab Emirates. On the other hand, computer services, manufacturing, and construction sectors were the top recipients of the gross FDI inflows during the month, according to a paper by the RBI staff. The US, Cyprus and Singapore together accounted for more than three-fourths of total FDI inflows, it said. 

The net foreign portfolio investment inflow in June was $2.39 billion, up from $1.55 billion in May and down from $5.45 billion in June last year. FPI recorded net outflows in July and August, reversing two consecutive months of inflows, as equity outflows intensified amidst persistent global trade tensions and heightened risk-off sentiment following US tariff announcements, the RBI paper said. However, the debt segment saw modest net inflows, supported by primary debt issuances and inflows in government bonds through the fully accessible route.

"The S&P's sovereign rating upgrade for India – underpinned by buoyant economic growth, enhanced monetary policy credibility and government's commitment to fiscal consolidation – could potentially lead to a reduction in borrowing costs, greater investor confidence and higher foreign capital inflows, going forward," the RBI paper said.  End

US$1 = INR 87.63

Reported by Srijita Bose

Edited by Saji George Titus

For users of real-time market data terminals, Informist news is available exclusively on the NSE Cogencis WorkStation.

Cogencis news is now Informist news. This follows the acquisition of Cogencis Information Services Ltd. by NSE Data & Analytics Ltd., a 100% subsidiary of the National Stock Exchange of India Ltd. As a part of the transaction, the news department of Cogencis has been sold to Informist Media Pvt. Ltd.

Informist Media Tel +91 (22) 6985-4000 

Send comments to feedback@informistmedia.com

© Informist Media Pvt. Ltd. 2025. All rights reserved.