India's Economic Resilience Attracts Foreign Investors Amid Global Trade Tensions

Foreign investors are returning to Indian markets, drawn by the nation's economic resilience amid global trade tensions. India is projected to remain the fastest-growing large economy in fiscal year 2026. This resilience is particularly appealing compared to the U.S. and China. The return of foreign portfolio investors (FPIs) is attributed to India's perceived lower vulnerability to a global trade war. G Chokkalingam, founder and head of research at Equinomics Research, highlighted this advantage. He noted that the U.S. and China face greater risks from trade disputes. Mid-cap and small-cap stocks also experienced gains, indicating broad market strength. Reliance Industries added 1.4%, building on its previous surge. This positive trend reflects growing confidence in the Indian economy.