look news india
The finance sector witnessed the highest foreign inflows between September 1 and September 15. According to the latest NSDL data, foreign institutions bought shares worth Rs 32,779 crore in Indian companies in the first fortnight of September.
Foreign portfolio investors (FPIs) bought shares worth Rs 12,253 crore in the financial services sector. This figure is for the first fortnight of September. However, in the month of August, FPIs had sold almost the same amount in this sector.
Last month, the Nifty Bank and Nifty Financial Services index rose 6.13 per cent and 6.95 per cent, respectively. From January to August, foreign investors sold Rs 64,932 crore in the sector. The banking and NBFC sectors witnessed an increase in foreign fund inflows after the US Federal Reserve cut interest rates. On the other hand, experts believe that the reduction in interest rates by the Federal Reserve is likely to further increase foreign investment in India's financial sector. However, this is based on global turmoil.
The flow of foreign funds into the healthcare sector continued unabated in the first fortnight of September. FPI investment in this sector increased by Rs 3,652 crore in the first fortnight of September. In August, FPI invested Rs 5,831 crore in this sector. Foreign investors are being attracted to invest in the healthcare sector due to the increasing demand for vaccines and other products of the pharma sector to treat diseases that the world has never seen before. Along with this, foreign investors also showed interest in investing in the consumer durables and FMCG sectors. Since the Indian stock market is currently trading at its highest level, there has been an increase in foreign inflows into Indian stocks. In the first fortnight of September, foreign investors bought shares worth Rs 2,226 crore and Rs 1,372 crore respectively in the consumer durables and fast moving consumer goods (FMCG) sectors.