Record FPI Outflow of ₹1.1 Lakh Crore Hits Indian Markets in March 2026
Why in the news
Global uncertainty pushed foreign investors to pull out record money from India in March 2026.
Key facts
- Total selling: ₹1.1 lakh crore in March 2026.
- Data from: National Securities Depository Limited (NSDL).
- Triggers: rising oil prices and geopolitical tensions.
- Spread: equity, debt and mutual funds.
Key terms
| Term | Meaning |
|---|---|
| FPI | Foreign investors in financial assets such as stocks and bonds; includes FIIs, hedge funds and pension funds; short-term and market-sensitive |
| FPI selling | Withdrawal of foreign capital; can mean market falls, currency depreciation and volatility |
| Benchmark indices | Market performance indicators, e.g. Sensex and Nifty 50 |
| Safe-haven shift | Funds moving from risky to safer assets such as the US dollar, gold and US Treasury bonds |
Exam angle
- Useful for Banking, NABARD and SEBI exams.
- Data agency: NSDL.
- Safe-haven examples: US dollar, gold, US Treasuries.