FIIs pump in $4 bn in May; inflow crosses $15-bn mark in 2013
Overseas investors have pumped in more than Rs 22,000 crore (about $ 4 billion) in the Indian stock market last month, the highest level in three months.business Updated: Jun 02, 2013 12:51 IST
Overseas investors have pumped in more than Rs 22,000 crore (about $ 4 billion) in the Indian stock market in May, the highest level in three months.
The staggering inflow in May comes after 16-month low net investment of Rs 5,414 crore in April. With this, the total foreign investor investment in the country's equity market has reached Rs 83,205 crore ($ 15.35 billion) since the beginning of 2013.
In May, foreign institutional investors (FIIs) were gross buyers of shares worth Rs 74,469 crore, while they sold equities amounting to Rs 52,300 crore, translating into a net inflow of Rs 22,168 crore ($ 4.04 billion), according to the data available with market regulator SEBI.
This was the highest net investment by FIIs in stocks since February, when they had infused Rs 24,439 crore.
According to market experts, foreign investors are pouring money into Indian stock market due to global liquidity.
Besides, slew of reform measures taken by the government in September 2012, also helped boost sentiment towards India.
FIIs, the main driver of the Indian market, pushed up the BSE's benchmark Sensex by 256 points, or 1.3 %, during the month of May as compared to the previous month.
Apart from equity, FIIs have also poured in Rs 5,969 crore($ 1.2 million) in the debt market last month taking the total investment to Rs 24,047 crore ($ 4.5 billion) in the segment so far this year.
As on May 31, the number of registered FIIs in the country stood at 1,758 and total number of sub-accounts were 6,404 during the same period.