Summary of this article
India is witnessing a steady return of foreign currency inflows, reflecting growing investor confidence in the country's economic fundamentals. A combination of resilient growth, stable macroeconomic indicators, supportive Reserve Bank of India (RBI) policies and increased participation by global investors has strengthened the country's external position.
Here's an explainer on why foreign capital is returning to India and what it means for the rupee, foreign exchange reserves and the broader economy.
