FPI Outflows Surge Past ₹3 Trillion Mark in 2026

Foreign portfolio investors have pulled out over ₹3 trillion from Indian equity markets during 2026, marking a significant uptick in capital flight and nearly doubling the outflow figures recorded in 2025. The withdrawal represents a substantial reversal in investor sentiment toward Indian equities amid broader global market volatility and shifting investment preferences.

The selling momentum has intensified considerably in recent months, reflecting growing concerns among international investors. In September alone, FPIs offloaded equities worth ₹35,861 crore, followed by additional disposals of ₹47,417 crore through October 12, underscoring the persistent downward pressure on Indian markets.

The sustained outflows have weighed on the Indian equity markets, with analysts attributing the trend to multiple factors including elevated valuations, global monetary policy shifts, and attractive opportunities in other emerging markets. The acceleration of withdrawals in the latter part of the year suggests that investor caution is unlikely to ease in the near term.