FPIs keep it cautious on Indian debt as inflows stay thin

Inflow flicker in April, but oil and global rates still loom

Foreign portfolio investors recorded only a slight inflow into Indian debt in April, yet sentiment remains cautious. Rising US and Japan interest rates, a weaker rupee, and ongoing fiscal uncertainty are deterring fresh bets. Analysts also flag that crude oil pressures could trigger further outflows, keeping near-term optimism muted despite any brief improvement in inflows.