Foreign institutional investors' unabated appetite for Indian markets has taken their net inflow into the country to over 10 billion dollars so far this year with an investment of 5.75 billion dollars in July, highest ever in a month.
The FIIs have made a net purchase worth about 10.5 billion dollars in equity and debt markets since the beginning of 2007, dwarfing the total net investment of 8.87 billion dollars in the entire 2006, the data available with market regulator SEBI shows.
The net FII inflow in the equity markets totals 9.9 billion dollars this year, while that in the debt markets stands at 681 million dollars.
The benchmark index Sensex has gained about 9 per cent in the past one month while it had surged over 54 per cent over the past 12 months.
Market observers believe if the current trend continues, the net FII inflow in equities could cross the record 12.5 billion dollars, which was registered in 2005. In 2006, the net FII inflows into equities stood at about eight billion dollars.
For July so far, the FIIs have made a net investment of over 5.75 billion dollar in capital markets -- which is the highest amount brought in during a month, according to data available on the SEBI website.
In rupee terms, the overall investment of FIIs in the country so far this year has been Rs 44,489.9 crore and in the current month a net inflow of Rs 23,473 crore has been registered, which has nearly doubled from Rs 12,918.5 crore in the same month last year.
Total FII inflow so far in the country is 61 billion dollars.
The stocks markets are maintaining the upbeat mood with corporates registering robust earnings in the first quarter of the current financial year.
Last year, total inflow by FIIs was over eight billion dollars while in July it was 285.4 billion dollars.
The number of FIIs registered with the market regulator has increased to 1,063 in July this year from 934 last year.