FII Outflows Persist as DIIs Step In to Stabilize Markets

Foreign Institutional Investors (FIIs) continued to pare their exposure to Indian equities, selling shares worth ₹2,425.75 crore on September 24, 2025. In contrast, Domestic Institutional Investors (DIIs) cushioned the sell-off, purchasing shares worth ₹1,211.68 crore on the same day. The persistent FII selling has been a defining feature of September, with total net outflows amounting to ₹19,458.68 crore so far. Meanwhile, DIIs have acted as a stabilizing force, emerging as net buyers with inflows worth ₹44,789.87 crore during the same period. Market experts highlight that the FII exodus is being driven by India-specific headwinds such as the revised H-1B visa fee structure, which poses risks to IT firms, alongside concerns about potential US tariff measures impacting Indian exports. Broader global factors, including cautious investor sentiment amid geopolitical uncertainties, have also influenced the trend. Data shows that throughout 2025, FIIs have withdrawn over $15 billion from Indian markets, signaling prolonged caution despite favorable domestic growth indicators. However, strong DII participation continues to provide a counterbalance, preventing deeper corrections in equity benchmarks. - MarketForesee Research Desk FII outflows September 2025 | DII buying in Indian markets | FII vs DII data | Indian stock market flows | H-1B visa fee impact | US tariffs on India | Indian equities update | FIIs pull out $15 billion | Stock market investors India | Institutional buying and selling