FPIs Sell-Off Continues as India Delivers Strong Returns, Says Sitharaman

Foreign Portfolio Investors (FPIs) have withdrawn nearly Rs 1 lakh crore from Indian markets in the first 1.5 months of 2025, despite Finance Minister Nirmala Sitharaman's assurance that India is delivering good returns on investments. The Nifty50's valuation has slipped below its five-year average, with a P/E multiple of 18.9 times one-year forward earnings. Sitharaman attributes the sell-off to profit booking, emphasizing that India's economy provides an environment where investments yield attractive returns. Finance Secretary Tuhin Kanta Pandey notes that during global volatilities, FPIs tend to return to their country of origin, primarily the US.
Sources: ANI, CNBC-TV18, Business Today