Foreign investors may be selling Indian assets in large numbers, but one of the world’s biggest institutional investors says its faith in India remains unchanged.
Speaking at the Citi Conference, Norges Bank’s Anuj Girotra said the fund does not plan to withdraw a single dollar from India despite a sharp rise in FPI outflows this year.
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“We do not intend to pull out a single dollar from Indian markets,” Norges Bank’s Anuj Girotra said, offering a strong vote of confidence in India at a time when foreign portfolio investors (FPIs) are exiting the country’s markets at a record pace.
The comments carry weight because Norges Bank Investment Management, which manages Norway’s sovereign wealth fund, is among the world’s largest investors and oversees an estimated $30 billion in Indian capital market investments.
The reassurance comes even as India witnesses one of its largest episodes of foreign investor selling on record. Data from NSDL’s FPI Monitor shows foreign investors have withdrawn a net Rs 2.47 lakh crore from Indian markets so far in 2026, with equities accounting for Rs 2.59 lakh crore of the outflows.
March witnessed the steepest selling pressure, with FPIs pulling out Rs 1.26 lakh crore, followed by another Rs 70,885 crore in April. February remains the only month this year to record net inflows.
The exodus has been driven by a combination of factors, including elevated crude oil prices, rupee weakness, softer corporate earnings and a global shift in capital toward artificial intelligence-led opportunities in markets such as Taiwan and South Korea.
Yet Norges Bank believes the broader India investment case remains firmly intact.
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According to Girotra, the AI opportunity in India is far from being missed. While India may not currently possess the scale of AI infrastructure seen in some developed markets, innovation at the application layer is accelerating rapidly.
He said India’s AI adoption and innovation ecosystem is growing faster than many global peers, reinforcing the country’s long-term structural growth prospects.
The remarks offer a counterpoint to the prevailing narrative around foreign investor exits. While global funds have reduced exposure amid near-term macroeconomic and market concerns, Norges Bank’s stance suggests that long-term investors continue to view India as a strategic allocation rather than a tactical trade.
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