Foreign Direct Investment In May Dips By 47 Per Cent - July 21, 2009

The foreign direct investment (FDI) in India fell by about 47 per cent to $2.1 billion in May on account of the global recession and the trend is likely to continue for some more months, a senior government official said yesterday. The FDI during the same month last year was $3.9 billion. The FDI in the first two months of this financial year is $4.43 billion, the official said. The government had scaled down the FDI target by $5 billion from $35 billion last fiscal.

The cumulative FDI from April 2000 to March 2009 stands near to about $90 billion. The FDI in 2008-09 was $27.3 billion as against $24.5 billion in 2007-08.

Foreign Institutional Investors Inflow Crosses $6 Billion - July 20, 2009

Foreign Institutional Investors have shown their confidence in the Indian markets by injecting more than $6 billion, or about Rs 29,940 crore this year, with over $1 billion coming in July alone. The overseas investors are the net purchasers of Indian stocks worth $6.18 billion (Rs 29,940.30 crore) from January to July this year.

According to the data with the Securities and Exchange Board of India, FIIs were the gross buyer of shares worth Rs 2,98,675.70 crore while the sale of equities by them valued at Rs 2,68,735.30 crore, that resulting in a net inflow of Rs 29,940.30 crore ($6.18 billion).

The FIIs in July made a net investment of Rs 5,637 ($1.16 million) in the domestic equity markets. However, during the same period, the BSE Sensex has lost nearly 2%.

Till now, FIIs are the net seller of debts worth Rs 973.60 crore ($151 million), even as the infusion by the overseas investors stood at Rs 4,485.10 crore ($932 million) so far in July, the Sebi data said.