Overseas investors poured in more than Rs 11,000 crore (about $2.2 billion) in the stock market this month so far enthused by reforms initiatives taken by the government to boost economic growth and investor sentiment.
During October 1-19, Foreign Institutional Investors’ (FIIs) were gross buyers of shares worth Rs 40,940 crore, while they sold equities amounting to Rs 29,826 crore - translating into net inflow of Rs 11,114 crore, as per data available with market regulator Sebi.
This takes the FIIs investment in the country’s equity market to Rs 93,444 crore ($17.98 billion) so far this year.
Market experts believe that FIIs continued their bullish stance on the equity market on account of recent reform initiatives taken by the government and expect the inflows to continue in the coming months.
“The inflows into domestic equity continued on the government’s reform measures and I hope it will continue in the coming months as well,” Wellindia Vice President Research Vivek Negi said.
Another analyst Kishor Ostwal Head at CNI Research said, “I think some...steps taken by the government is seen as a market friendly move by investors and in my view FII would continue to react positively on the domestic equity market.”
Apart from equities, FIIs also infused Rs 2,245 crore in the debt market so far this month.
The BSE’s benchmark Sensex slipped by about 80 points so far this month to settle at 18,682.31 points on Friday.
As on October 19, the number of registered FIIs in the country stood at 1,751 and total number of sub-accounts were at 6,342.