Foreign investors continue to flee even after Modi’s Rs 21 lakh cr economic package
Even as the Narendra Modi government aims to attract more foreign investors to India by liberalising the policies and laws, it has not helped to lift sentiments across foreign portfolio investors. The FPI investors have been pulling out their investments from the Indian market every day even after PM Modi announced an economic stimulus package as big as Rs 20 lakh crore on May 12.
Immediately the next day of the announcement, Rs 6,066 crore was pulled out from the Indian market, according to the data provided by the National Securities and Exchange Limited (NSDL).
In fact, in the last six working days, the foreign portfolio investors have withdrawn a total of Rs 21,308 crore from the Indian market. The flight of foreign investors has been continued since the month of March when coronavirus cases started to show in India. The month saw a net pull out of over Rs 1 lakh crore, which was a record-high.