Chandigarh, October 15: Keeping a watch on the record USD 22 billion FII investments in the booming Indian stock markets this year, the RBI today said it will “intervene if the inflows are lumpy and volatile”.
“We are watching the situation and our policy is clear.
We will intervene if (FII) inflows are lumpy and volatile or they disrupt macro economic conditions,” Reserve Bank Governor D Subbarao said after a meeting of central bank board here.
The cross-country foreign institutional investors (FII) have pumped in the highest ever USD 22 billion so far during 2010 calendar.
On October 13, FII investment crossed the magical USD 22 billion or Rs 1 lakh crore in stock markets. The total inflows last year was USD 17 billion.
–Agencies