India Records Negative Net Foreign Direct Investment for Fourth Consecutive Month
Data from the Reserve Bank of India (RBI) shows that India’s net Foreign Direct Investment (FDI) remained negative for the fourth consecutive month in November 2025. This trend is driven by high levels of repatriation and disinvestment by foreign companies, which exceeded total inflows by $446 million. Additionally, net Foreign Portfolio Investments (FPI) have also been negative in the 2025-26 financial year due to uncertainty over India-U.S. trade deals and a weakening rupee. Despite this, gross inflows remained steady at $6.4 billion, with the financial services and manufacturing sectors receiving the highest shares.
Key Points
- Net FDI is the balance between total inflows and outflows (repatriation/disinvestment).
- Outflows in November 2025 exceeded inflows by $446 million.
- Repatriation and disinvestment reached a five-month high of $5.3 billion in November 2025.
- The financial services sector received approximately 75% of the FDI inflows.
Exam Facts
- Net FDI was negative for four months ending November 2025.
- Gross FDI inflow in November 2025 was $6.4 billion.
- Outward FDI by Indian companies was $1.5 billion in November 2025.
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