हिंदी में पढ़ें —JantaScope हिंदी
Finance

FPIs Have Sold ₹13,138 Crore of Indian Stocks in September — Here’s What the Number Really Means

Foreign portfolio investors have returned to selling Indian equities in September 2026 after a strong August. Official depository data show net equity outflows of ₹13,138 crore through September 11, while a larger figure of about ₹14,474 crore appearing in some reports refers to exchange-market activity and should not be treated as the same dataset.

FPIs Have Sold ₹13,138 Crore of Indian Stocks in September — Here’s What the Number Really Means

By Jeet Nirmal

Source: JantaScope

Foreign portfolio investors (FPIs) have turned sellers in Indian equities again in September 2026, interrupting the strong buying seen in the previous month.

The most reliable headline number currently available from the official depository dataset is:

₹13,138 crore of net FPI equity outflows in September 2026 through September 11.

The NSDL FPI database, which compiles data based on reports submitted to SEBI and the depositories, currently shows –₹13,138 crore for September equities.

That figure is particularly significant because August had marked a sharp return of foreign money. Foreign investors bought roughly $3.1 billion of Indian shares in August, the strongest monthly inflow in nearly two years.

So the September story isn't merely that FPIs are selling again.

The more important story is how quickly foreign sentiment has reversed.


The verified number: ₹13,138 crore through September 11

According to official NSDL data, FPIs were net sellers of ₹13,138 crore in Indian equities through September 11. Independent reporting based on the same depository data confirms the figure and cutoff date.

This is the number JantaScope should use when answering:

“How much have FPIs sold in September 2026?”

But the date qualification is essential.

It should be written as:

FPIs withdrew a net ₹13,138 crore from Indian equities in September 2026 through September 11, according to depository data.

It should not currently be presented as the final September total. The month is still in progress.

Why are some reports saying ₹14,474 crore?

Readers searching for September FPI selling may encounter another number: approximately ₹14,474 crore.

That figure has been reported for foreign selling through stock exchanges, rather than the broader depository net-investment measure.

This distinction matters.

CDSL's daily FPI database separates equity activity into:

Stock Exchange transactions

and

Primary market & others.

For example, on September 1 alone, FPIs recorded ₹6,139.56 crore of net selling through stock exchanges, but ₹706.73 crore of net investment through the primary-market-and-other category. The resulting equity subtotal was therefore a smaller net outflow of ₹5,432.83 crore.

So two articles can quote different FPI numbers without necessarily contradicting one another.

They may simply be measuring different parts of foreign-investor activity.

For JantaScope, use ₹13,138 crore

Because the question concerns overall FPI equity flows, I recommend using the depository net-investment figure of ₹13,138 crore, with the September 11 cutoff clearly stated.

That is more precise than mixing it with exchange-only selling.


September marks a sharp reversal from August

The comparison with August makes the September number much more meaningful.

Foreign investors bought approximately $3.1 billion of Indian equities in August, according to depository data reported by Reuters. It was their strongest monthly buying in Indian stocks in about 23 months.

Then September arrived.

By September 11:

August: strong foreign net buying
September through Sept. 11: ₹13,138 crore net equity outflow

That does not mean foreign investors suddenly concluded that India's long-term economic prospects had deteriorated.

The external environment changed considerably.


Oil above $100 has made India more vulnerable

One of the biggest changes has been crude oil.

On September 15, Brent crude rose above $107 a barrel amid escalating geopolitical and supply concerns. Oil has risen sharply during September.

India is a major importer of crude oil, so elevated prices can affect several variables that foreign investors monitor:

  • India's import bill and trade balance

  • inflation

  • corporate input costs

  • the rupee

  • expectations for RBI interest rates

The effect is therefore broader than the share prices of oil-related companies.

Higher crude can change the macroeconomic assumptions underlying foreign investment in India.


The rupee is adding to the pressure

The Indian rupee has also weakened.

On September 15, it fell to around ₹95.92–₹95.96 per U.S. dollar, its weakest level in more than a month, as high oil prices and expectations of tighter U.S. monetary policy pressured Indian assets.

For an overseas investor, currency movements matter because returns ultimately have to be converted back into dollars or another home currency.

Imagine an overseas investor earns 7% on an Indian stock in rupee terms.

If the rupee depreciates significantly during the same period, part of that equity return disappears after currency conversion.

That doesn't prove currency weakness caused the ₹13,138 crore outflow, but it helps explain why the investment environment has become less attractive than it was in August.


Rising U.S. yields change the risk-reward calculation

Global bond markets are another major piece of the story.

U.S. Treasury yields have climbed sharply, with global markets reacting to stronger inflation concerns, expensive oil and expectations of higher interest rates. Reuters reported that Treasury yields reached their highest levels since 2007.

Higher U.S. government-bond yields matter to India because international fund managers continuously compare potential returns across markets.

When relatively low-credit-risk U.S. government securities offer increasingly attractive yields, investors may demand higher expected returns before accepting the additional equity and currency risks associated with emerging markets.

This phenomenon is not unique to India.

But India can be particularly sensitive when high U.S. yields coincide with expensive crude and rupee depreciation.


Indian markets are now feeling the pressure

The change in the global environment has become visible in domestic equities.

On September 15, the Nifty 50 fell 1.19% to 23,118.6, its lowest close in five months.

The BSE Sensex declined 1.04% to 74,003.82.

Financial stocks fell 1.8%, automobiles dropped 2%, and the broader mid-cap and small-cap indices lost more than 2%.

However, it would be inaccurate to attribute these market declines solely to FPI selling.

Reuters identified elevated oil prices and rising bond yields among the major concerns driving the market.

Foreign selling is therefore best understood as part of the wider risk-off environment, rather than the sole cause of falling Indian equities.


₹13,138 crore sounds huge — but context matters

The number is large enough to attract attention, but it needs perspective.

September's selling follows an unusually strong August for foreign investment.

That means the recent sequence looks roughly like:

Foreign selling earlier in 2026 → recovery → strong August buying → renewed September selling.

The pattern suggests that foreign portfolio capital remains highly responsive to changing global conditions.

That is different from saying:

“Foreign investors have lost confidence in India.”

The available evidence does not justify that conclusion.

Portfolio investors can remain positive about India's long-term growth prospects while simultaneously reducing short-term exposure because oil, interest rates, currency risk or valuations have become less favourable.


The FPI number investors should watch next

The most useful question now is not whether September's outflow reaches ₹15,000 crore on one particular day.

It is whether selling persists after the current global pressures ease.

Three developments would be especially important.

Oil: A sustained decline in Brent crude could improve India's inflation, import and currency outlook.

U.S. yields: Lower Treasury yields would reduce some of the relative-return pressure on emerging-market assets.

Rupee: Greater currency stability would reduce an important source of risk for dollar-based investors.

If those variables improve but FPIs continue selling heavily, the explanation may increasingly shift toward India-specific issues such as valuations, earnings expectations or sector positioning.

If foreign investors return when global conditions improve, September's reversal would look much more like a macro-driven risk reduction.

That is the distinction investors should watch.


Bottom line

As of the latest verified official depository data available for the period through September 11, 2026:

FPIs have withdrawn a net ₹13,138 crore from Indian equities in September.

The approximately ₹14,474 crore figure reported elsewhere refers to exchange-market selling and is not directly interchangeable with the broader depository net-investment figure.

September's reversal comes immediately after foreign investors bought approximately $3.1 billion of Indian shares in August, their strongest monthly buying in nearly two years.

That makes the real story bigger than ₹13,138 crore.

It shows just how quickly the global investment equation has changed as oil prices surged, the rupee weakened and global bond yields climbed.

For investors, the next question is therefore not simply:

“How much are FPIs selling?”

It is:

“Will they keep selling if those global pressures begin to ease?”

Related

More stories

India’s Q2 Economic Indicators Signal Strong Momentum Ahead of Festive Season

India ended the July-September quarter with encouraging signals across manufacturing, industrial production, tax collections, digital payments and parts of the automobile market. The data point to resilient economic activity ahead of the festive season, although inflation, energy costs and uneven rural-facing demand remain important risks.

Finance

India’s Q2 Economic Indicators Signal Strong Momentum Ahead of Festive Season

India-US Trade Deal Not Imminent, USTR Says as Negotiations Enter Final Stretch

India and the United States are continuing negotiations on a bilateral trade agreement, but an immediate breakthrough should not be expected, US Trade Representative Jamieson Greer said. His comments came after discussions with Indian Commerce and Industry Minister Piyush Goyal at the G20 Trade Ministers’ Meeting in Milwaukee. Both sides say negotiations are progressing, although unresolved issues remain.

Finance

India-US Trade Deal Not Imminent, USTR Says as Negotiations Enter Final Stretch

Finance Ministry Sees India’s Q2 FY27 GDP Growth at 7.3%, but Global Risks Cloud Outlook

India’s Finance Ministry expects real GDP to grow around 7.3% in the July–September quarter of FY27, extending the economy’s strong start to the fiscal year. The estimate is notably above the Reserve Bank of India’s 6.4% projection for the quarter, although the ministry has warned that oil prices, trade uncertainty and tighter global financial conditions remain important risks

Finance

Finance Ministry Sees India’s Q2 FY27 GDP Growth at 7.3%, but Global Risks Cloud Outlook

FPI Outflows Cross ₹1 Trillion in H1 FY27 as Global Pressures Weigh on Indian Markets

Foreign portfolio investors remained cautious toward Indian markets during the first half of FY27, with net selling reaching ₹1.29 trillion. Financial services, oil and gas, automobiles and telecom faced significant withdrawals, while selected consumer and services sectors continued to attract overseas capital.

Finance

FPI Outflows Cross ₹1 Trillion in H1 FY27 as Global Pressures Weigh on Indian Markets

RBI FX Swaps Open Cheaper Dollar Funding Route for Some Indian Companies

The Reserve Bank of India’s large-scale dollar-rupee swap operations are reshaping currency-market pricing and creating an unusual funding opportunity for some Indian companies. Higher forward premiums mean eligible corporates may be able to borrow in rupees and convert that liability into dollars through currency swaps at a lower effective cost than borrowing directly overseas.

Finance

RBI FX Swaps Open Cheaper Dollar Funding Route for Some Indian Companies

Finance Ministry Estimates India’s Q2 GDP Growth at 7.3% as Momentum Moderates

India’s Finance Ministry expects the economy to grow by 7.3% in the July–September quarter of FY2026-27, according to its nowcasting model. The estimate points to continued economic expansion after 7.8% real GDP growth in April–June, although the ministry has also highlighted risks from geopolitical tensions, trade uncertainty, rising oil prices and tighter global financial conditions.

Finance

Finance Ministry Estimates India’s Q2 GDP Growth at 7.3% as Momentum Moderates