FROM DEPENDENCY TO SELF-RELIANCE: INDIA'S INVESTMENT EVOLUTION IN THE ATMANIRBHAR BHARAT ERA

This research investigates the evolving investment behaviors of Foreign Institutional Investors (Fll’s) and Domestic Institutional Investors (DII’s) in the Indian stock market, highlighting the resilience fostered by Atmanirbhar Bharat. In recent times, Fll’s have been withdrawing substantial funds due to global economic uncertainties, domestic policy shifts, and market fluctuations. However, DII’s and Indian retail investors have stepped up to stabilize the market by channeling significant investments. This study examines key factors influencing Fll withdrawals, including interest rate hikes, geopolitical tensions, and global economic disruptions, alongside the proactive strategies employed by DII’s to maintain equilibrium. The research also explores the pivotal role of Indian retail investors in supporting market liquidity and stability during periods of volatility.

By analyzing specific high-impact events, the study underscores how Indian investors collectively mitigate the adverse effects of Fll withdrawals, ensuring market normalcy despite external pressures. The findings aim to guide policymakers in formulating strategies that not only attract foreign investments but also bolster domestic and retail investor confidence, promoting a self-reliant and inclusive financial ecosystem.