Overall, the FPI investment data for September 2023 is mixed. However, the fact that more sectors witnessed positive growth is of course a positive sign.
Sector-wise FPI Investment Data:
| Sr. No. | Sectors | Equity (Rs. Crore) | Growth in % | Growth in Rs. Crore | ||||||
| Jul-23 | Aug-23 | Sep-23 | Sep-Aug | Aug-July | Sep-July | Sep-Aug | Aug-July | Sep-July | ||
| 1 | Automobile and Auto Components | 3,45,726 | 3,46,220 | 3,56,446 | 2.95% | 0.14% | 3.1% | 10,226 | 494 | 10,720 |
| 2 | Capital Goods | 2,03,513 | 2,22,460 | 2,24,743 | 1.03% | 9.31% | 10.4% | 2,283 | 18,947 | 21,230 |
| 3 | Chemicals | 96,354 | 99,100 | 95,978 | -3.15% | 2.85% | -0.4% | -3,122 | 2,746 | -376 |
| 4 | Construction | 1,07,868 | 1,10,354 | 1,19,216 | 8.03% | 2.30% | 10.5% | 8,862 | 2,486 | 11,348 |
| 5 | Construction Materials | 94,048 | 93,610 | 94,657 | 1.12% | -0.47% | 0.6% | 1,047 | -438 | 609 |
| 6 | Consumer Durables | 1,82,978 | 1,88,072 | 1,86,907 | -0.62% | 2.78% | 2.1% | -1,165 | 5,094 | 3,929 |
| 7 | Consumer Services | 1,34,850 | 1,45,467 | 1,50,100 | 3.18% | 7.87% | 11.3% | 4,633 | 10,617 | 15,250 |
| 8 | Diversified | 3,318 | 3,692 | 3,853 | 4.36% | 11.27% | 16.1% | 161 | 374 | 535 |
| 9 | Fast Moving Consumer Goods | 3,87,151 | 3,76,836 | 3,78,489 | 0.44% | -2.66% | -2.2% | 1,653 | -10,315 | -8,662 |
| 10 | Financial Services | 17,71,057 | 17,53,402 | 17,74,155 | 1.18% | -1.00% | 0.2% | 20,753 | -17,655 | 3,098 |
| 11 | Forest Materials | 2,082 | 2,247 | 2,607 | 16.02% | 7.93% | 25.2% | 360 | 165 | 525 |
| 12 | Healthcare | 2,89,657 | 2,90,022 | 2,96,757 | 2.32% | 0.13% | 2.5% | 6,735 | 365 | 7,100 |
| 13 | Information Technology | 4,97,985 | 5,20,205 | 5,33,829 | 2.62% | 4.46% | 7.2% | 13,624 | 22,220 | 35,844 |
| 14 | Media, Entertainment & Publication | 18,973 | 21,230 | 20,687 | -2.56% | 11.90% | 9.0% | -543 | 2,257 | 1,714 |
| 15 | Metals & Mining | 1,68,563 | 1,59,358 | 1,59,296 | -0.04% | -5.46% | -5.5% | -62 | -9,205 | -9,267 |
| 16 | Oil, Gas & Consumable Fuels | 4,96,204 | 4,68,400 | 4,61,509 | -1.47% | -5.60% | -7.0% | -6,891 | -27,804 | -34,695 |
| 17 | Power | 1,80,594 | 1,87,379 | 1,95,336 | 4.25% | 3.76% | 8.2% | 7,957 | 6,785 | 14,742 |
| 18 | Realty | 77,502 | 76,449 | 80,489 | 5.28% | -1.36% | 3.9% | 4,040 | -1,053 | 2,987 |
| 19 | Services | 94,562 | 95,095 | 91,973 | -3.28% | 0.56% | -2.7% | -3,122 | 533 | -2,589 |
| 20 | Telecommunication | 1,40,026 | 1,35,343 | 1,45,857 | 7.77% | -3.34% | 4.2% | 10,514 | -4,683 | 5,831 |
| 21 | Textiles | 17,388 | 19,278 | 18,652 | -3.25% | 10.87% | 7.3% | -626 | 1,890 | 1,264 |
| 22 | Utilities | 914 | 859 | 886 | 3.14% | -6.02% | -3.1% | 27 | -55 | -28 |
| 23 | Sovereign | 0 | 0 | 0 | – | – | – | – | – | 0 |
| 24 | Others | 12,975 | 13,272 | 16,233 | 22.31% | 2.29% | 25.1% | 2,961 | 297 | 3,258 |
Source – NSDL website
The overall growth in FPI investment in India in the month of September 2023 was 1.6%, or Rs 84,366 crore.
The FPI investment data for the month of September 2023 shows that the following sectors have witnessed positive growth (September-August) in terms of investment:
- Forest Materials: 16.02% (Rs 360 crore)
- Realty: 5.28% (Rs 4,040 crore)
- Information Technology: 2.62% (Rs 13,624 crore)
- Construction: 8.03% (Rs 8,862 crore)
- Telecommunication: 7.77% (Rs 10,514 crore)
The following sectors have witnessed negative growth (Sep-Aug) in terms of investment:
- Services: -3.28% (Rs -3,122 crore)
- Textiles: -3.25% (Rs -626 crore)
- Chemicals: -3.15% (Rs -3122 crore)
- Metals & Mining: -1.00% (Rs 1,653 crore)
- Oil, Gas & Consumables: -1.47% (Rs 6,891 crore)
It is important to note that this is just a past three-month snapshot of FPI investment data. FPI flows can be volatile and can vary from month to month. However, the overall trend of growth in FPI investment in India is positive.
Some important findings:
- The fastest-growing sector in terms of FPI investment in September 2023 was Forest Materials, with an increase of 16.02%. This sector has been benefiting from rising demand for timber and other wood products from both domestic and international markets.
- The other sectors that witnessed strong growth in FPI investment in September 2023 were Realty, Consumer Durables, Information Technology, and Telecommunication. These sectors are all benefiting from the strong economic growth in India and the rising disposable incomes of Indian consumers.
- The sectors that witnessed negative growth in FPI investment in September 2023 were Oil, Gas and consumable Fuels, Financial Services, Chemicals, Metals & Mining, and Construction Materials. These sectors are all facing various challenges, such as high commodity prices, rising interest rates, and global economic uncertainty.
Overall, the FPI investment data for September 2023 is mixed. However, the fact that more sectors witnessed positive growth is of course a positive sign. This suggests that foreign investors are still optimistic about the long-term growth prospects of the Indian economy.
Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. It is based on several secondary sources on the internet and is subject to changes. Please consult an expert before making related decisions.
