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 India's strong macroeconomic fundamentals and the improvement in market risk appetite increased the foreign portfolio investments, said the Economic Survey 2022-23 that was tabled in the Parliament on Tuesday.

The global economic factors, such as inflationary pressures, monetary tightening by central banks and recessionary fears in advanced economies, exerted pressure on foreign portfolio investments (FPI) to sell in Indian markets.

Further, investors were also sitting on gains from Indian stocks that could be realised to offset losses elsewhere.

"However, on account of the strong macroeconomic fundamentals of the Indian economy and the improvement in market risk appetite from time to time, assets under custody (custodial holdings of FPIs reflecting the total market value of the holdings) witnessed an increase despite the outflows driven by global factors," the Survey notes.

The total assets under custody with FPIs increased by 3.4 per cent to Rs 54 lakh crore at the end of November 2022 as compared to November 2021 figures of Rs 52.2 lakh crore, said the survey.

According to the Survey, the overall net investments by Foreign Portfolio Investors during FY23 registered an outflow of Rs 16,153 crore at the end of December 2022 from an outflow of Rs 5,578 crore during FY22 at the end of December 2021, with both the equity segment and the debt segment witnessing net FPI outflows.