India's rupee faces mounting pressure as foreign investor outflows surpass the impact of a stable current account deficit, according to Jefferies India's Mahesh Nandurkar.
Global interest in AI is drawing capital away from India
May 26, 2026
04:40 pm
What's the storyMahesh Nandurkar, MD and Head of India Research at Jefferies India, has said that the weakening Indian rupee is more a result of declining capital inflows than the current account deficit (CAD).
He noted that while India's CAD remains relatively stable, the outflow of foreign money from Indian markets is putting more pressure on the currency.
BofA sees foreign exodus from Dalal Street extending into 2027
First Taiwan, then South Korea? How global AI supercycle is demoting Indian stock market
Net foreign investments fell to -$11.7 billion in March 2026 as FPI outflows eclipsed FDI inflows
AI, commodity trades show early exhaustion: Elara Capital
FPI flows to remain subdued as India loses appeal versus EM peers: Kotak
Patient capital trusts India as hot money exits; FDI inflow rises 17% YoY
Immediate and deeper factors behind Re fall
Why is the Indian rupee falling?
India Inc's foreign investments more than double in April
India's stock market faces a significant downturn as global investment shifts towards AI. Foreign investors are leaving,…
Global capital is shifting towards electronics and AI in Asia. India's foreign direct investment slowdown is not a major concern.…
India's strong mutual fund SIP culture is helping foreign investors exit the equity market. This is putting pressure on the…
The Indian rupee is likely to remain under pressure due to weakening capital inflows, rising import dependence, elevated crude…
India's stock market faces decline as foreign investors abandon it amid AI-driven global investment shifts, pushing ownership to…
India's external accounts are under strain. The current account deficit is widening, and capital may flow out. The rupee has…
