The expansion was driven mainly by net investments by non-residents in debt instruments, which grew by 19 per cent to $465 million from $391 million in March 2023.

Further, non-residents’ net investments in equity capital (other than reinvestment of earnings) in the month rose by 67.1 per cent to $157 million from $94 million in March 2023.

Meanwhile, their reinvestment of earnings declined by 11.3 per cent to $64 million in the month from $72 million in March last year, a release from the country’s central bank said.

Equity capital placements during the month were sourced primarily from Japan, Singapore, and the United States. These were invested largely in manufacturing, financial and insurance, and real estate sectors.

The cumulative FDI net inflows in the first quarter (Q1) this year was $3 billion—a 42.1-per cent growth from the $2.1 billion recorded in Q1 2023.

Fibre2Fashion News Desk (DS)