Foreign investors have pumped in a staggering USD 3 billion in the Indian capital markets this month so far as regulator Sebi has raised investment limit for FPIs in government debt.
Most of the funds were invested in the debt markets during the period under review.
"Foreign Portfolio Investors (FPIs) investing more in debt is mainly due to two reasons. Sebi raised FPI investment limit for government debt and benchmark 10-year government bond yield rose to its highest in 7 months. These factors have made Indian debt instruments more attractive to foreign investors," Advisorymandi.Com CEO Kaushalendra Singh Sengar said.