NEW DELHI (Dunya News) – Foreign investor confidence in India’s stock market has sharply declined, driven by what analysts describe as the failure of Prime Minister Narendra Modi’s economic policies.
According to Bloomberg, global investors are increasingly skeptical of Modi’s promises regarding the performance of the stock market.
Data from India’s National Securities Depository Limited shows that total investment in the country has fallen to 7.3 trillion Indian rupees, the lowest level since 2016. As a result, India’s stock market is losing its prominence among emerging economies.
Bloomberg further reported that, for the first time in three years, Taiwan and South Korea’s economies have overtaken India. Global funds in several Indian companies have dropped from 20% to 15% over the past decade.
Experts suggested that disruptions caused by the US-Iran conflict, combined with weak domestic economic policies, have further damaged India’s economic outlook. As a consequence, the presence of foreign investors in the Indian stock market continues to decline.