With $30 billion in 2010, there have been a couple of months for takeout from the FIIs getting investors in a corner in India. However equities are looking up again as Portfolio FII investments already crossed $1.7 billion in 8 days in April while even Calendar 2011 is positive despite the scrable to book out profits in the first few days spilling over from holiday season 2010.
FDI is also likely to be stronger given the sector specific policy bent and automakers venturing in daily. China continues to score a robust 9.4 % of GDP and $100 billion in FDI/FII investment in 2010 and even though that may not be challenged, India’s weightage is growing in favour in equities and FDI and we might even compoete with China’s $100 billion take as the world re-awakens to Emerging markets vis-a-vis Developed markets and the Dollar continues down, the Euro struggles despite $300 billion in annual FDI and M&A dealbooks start looking anemic across sectors, India/Asia and even the USA.
Summertime folks! ante up..