India’s net foreign direct investment (FDI) inflows nearly quadrupled to US$6.6 billion in April 2026, up from US$1.6 billion in the same month last year, according to the June Bulletin of the Reserve Bank of India.
The central bank attributed the sharp increase to a significant rise in equity inflows and lower repatriation by foreign investors. Equity inflows, the largest component of FDI, climbed to US$12.42 billion in April from US$6.82 billion a year earlier. On a gross basis, total FDI inflows rose 65 per cent year-on-year to US$15.3 billion.
At the same time, overseas investments by Indian companies also increased. Outward FDI grew to US$4.82 billion in April, compared to US$3.39 billion in the corresponding period last year.
Meanwhile, repatriation and disinvestment by foreign investors declined to US$3.9 billion from US$4.23 billion a year ago, supporting the rise in net FDI inflows.
However, net portfolio investment recorded an outflow of US$7.26 billion in April, higher than the US$2.13 billion outflow reported in April last year. Despite the portfolio outflows, the strong growth in FDI reflects sustained foreign investor interest in India’s long-term economic prospects.
