FPI Hopeful of Narendra Modi Returning to Power in 2024: Report
PM Narendra Modi at an event (file photo)
New Delhi:
Foreign portfolio investors (FPIs) from the US and Europe are optimistic about India. This can be estimated from his investment in Indian stocks. Since March 2023, his investment in stocks has improved to $9.5 billion. This has been said in the report of a foreign brokerage company. This report by Swiss brokerage company UBS Securities is based on interactions with about 50 American and European FPIs.
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It has been said in the report that most of the foreign investors are optimistic about India. His investment in stocks has improved to $ 9.5 billion since March 2023, while during the last three months he had pulled out $ 4 billion from stocks.
Another reason for optimism about India is the softening of macroeconomic risks.
The report said that most global investors are expecting Prime Minister Narendra Modi to return to power in the general elections to be held next summer. He has already ‘ignored’ the assembly elections of various states to be held in the December quarter. USB India economist Tanvi Gupta Jain said investors are optimistic despite domestic markets underperforming 4.6 per cent in emerging markets so far this year.
According to Sunil Tirumalai, strategist at UBS Securities India, the reason for this expectation is the better economic, political and geopolitical scenario. However, UBS has termed the rising interest rates of banks as a risk. It has been said in the report that due to this, Indian families can invest their money in other options instead of shares.
UBS has reduced the Nifty target to 18,000 points for the current year. Nifty is now above 18,000 mark.
