FIIs shift focus from India

The foreign institutional investors (FII) seems to have lost interest in the 'India Shining' story.

After bringing in a record Rs 19,706.70 crore into the country up to April 30, 2004, the FIIs have turned net sellers during the last few months and have pulled considerable sum out of the country.

According to data available on the website of Securities and Exchange Board of India (Sebi), FIIs have pulled out a net Rs 3,500 crore in May, bringing the total net inflows to Rs 16,160.40 crore up to May 31.

The total net inflows recorded on June 30 at Rs 15,886.90 crore and Rs 16,084.50 crore on July 14, show that the FII activity has considerably been reduced during the last two months.

Incidentally, the number of FIIs registered with Sebi went up from 541 on April 30, 2004 to 576 on July 14. Brokers said that though FII activity had slowed down in the equity market in the last few months, most institutions were churning their portfolios, realigning them in line with market realities.