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Today, the Reserve Bank released data relating to India’s International Investment Position for end-December 2025[1].
Key Features of India’s IIP in end-December 2025:
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Net claims of non-residents on India declined by US$ 10.9 billion from end-September 2025 and stood at US$ 260.5 billion as at end-December 2025, driven by relatively higher rise in Indian residents’ overseas financial assets (US$ 12.8 billion) as compared to increase in the foreign-owned assets in India (US$ 1.9 billion) (Table 1).
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Accordingly, the ratio of India’s international assets to international liabilities continued to improve to 82.1 per cent as at end-December 2025 from 81.4 per cent in the previous quarter and 74.6 per cent a year ago (Chart 1 & Table 1).
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Indian residents’ overseas financial assets increased during the quarter, primarily led by rise in outward direct investments (US$ 7.6 billion) and currency and deposits (US$ 9.4 billion).
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Reserve assets, accounting for 57.4 per cent share in the total overseas financial assets of Indian residents, declined by US$ 12.4 billion from the previous quarter and stood at US$ 687.7 billion as at end-December 2025. However, on annual basis, it rose by 8.2 per cent (Table 2).
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On liability side, decline in inward direct investment (US$ 3.2 billion) and portfolio investment (US$ 2.8 billion) was offset by increase in trade credit (US$ 11.4 billion) under other investment, resulted in marginal sequential increase (0.1 per cent) in foreign-owned assets in India as on end-December 2025.
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With the decline in equity investment along with the rise in debt investment, the share of debt liabilities in total external liabilities increased to 55.3 per cent as at end-December 2025 from 54.8 per cent a quarter ago (Table 3).
(Brij Raj)
Chief General Manager
Press Release: 2025-2026/2353
| Table 1: Overall International Investment Position of India |
| (US$ billion) |
| Period |
Position as at end of |
| Dec-24 (PR) |
Mar-25 (PR) |
Jun-25 (PR) |
Sep-25 (PR) |
Dec-25 (P) |
| Net IIP (A-B) |
-363.9 |
-329.1 |
-312.6 |
-271.4 |
-260.5 |
| A. Assets |
1070.8 |
1134.0 |
1177.1 |
1185.2 |
1198.0 |
| 1. Direct Investment |
260.8 |
270.5 |
279.5 |
288.9 |
296.5 |
| 1.1 Equity and investment fund shares |
166.5 |
173.6 |
179.7 |
187.2 |
193.1 |
| 1.2 Debt instruments |
94.3 |
96.9 |
99.8 |
101.7 |
103.4 |
| 2. Portfolio Investment |
12.0 |
15.4 |
16.3 |
16.6 |
16.5 |
| 2.1 Equity and investment fund shares |
9.2 |
10.3 |
13.1 |
12.5 |
10.1 |
| 2.2 Debt securities |
2.8 |
5.1 |
3.2 |
4.1 |
6.4 |
| 3. Other Investment |
162.3 |
179.8 |
183.2 |
179.6 |
197.3 |
| 3.1 Trade Credits |
33.3 |
33.7 |
33.7 |
31.9 |
34.5 |
| 3.2 Loans |
23.4 |
27.1 |
25.6 |
25.8 |
26.8 |
| 3.3 Currency and Deposits |
69.6 |
80.4 |
83.6 |
80.8 |
90.2 |
| 3.4 Other Assets |
36.0 |
38.6 |
40.3 |
41.1 |
45.8 |
| 4. Reserve Assets |
635.7 |
668.3 |
698.1 |
700.1 |
687.7 |
| B. Liabilities |
1434.7 |
1463.1 |
1489.7 |
1456.6 |
1458.5 |
| 1. Direct Investment |
547.2 |
557.0 |
571.2 |
562.2 |
559.0 |
| 1.1 Equity and investment fund shares |
513.0 |
522.0 |
535.4 |
525.8 |
522.2 |
| 1.2 Debt instruments |
34.2 |
35.0 |
35.8 |
36.4 |
36.8 |
| 2. Portfolio Investment |
276.5 |
272.0 |
272.5 |
258.7 |
255.9 |
| 2.1 Equity and investment fund shares |
155.6 |
141.9 |
147.4 |
133.0 |
130.1 |
| 2.2 Debt securities |
120.9 |
130.1 |
125.1 |
125.7 |
125.8 |
| 3. Other Investment |
611.0 |
634.1 |
646.0 |
635.7 |
643.6 |
| 3.1 Trade Credits |
135.6 |
131.2 |
131.1 |
135.0 |
146.4 |
| 3.2 Loans |
240.6 |
250.5 |
260.3 |
258.5 |
259.9 |
| 3.3 Currency and Deposits |
165.7 |
167.6 |
171.7 |
168.9 |
173.9 |
| 3.4 Other Liabilities |
47.5 |
62.8 |
60.2 |
50.6 |
40.7 |
| 3.5 Special drawing rights (Net incurrence of liabilities) |
21.6 |
22.0 |
22.7 |
22.7 |
22.7 |
| Memo Item: Assets to Liability ratio (%) |
74.6 |
77.5 |
79.0 |
81.4 |
82.1 |
Notes (applicable for all tables):
1. P: Provisional; PR: Partially Revised.
2. The sum of the constituent items may not add to the total due to rounding off. |
| Table 2: Composition of International Financial Assets and Liabilities of India |
| (per cent) |
| Period |
Position as at end of |
| Dec-24 (PR) |
Mar-25 (PR) |
Jun-25 (PR |
Sep-25 (PR) |
Dec-25 (P) |
| A. Assets |
| 1. Direct Investment |
24.4 |
23.8 |
23.7 |
24.4 |
24.7 |
| 2. Portfolio Investment |
1.1 |
1.4 |
1.4 |
1.4 |
1.4 |
| 3. Other Investment |
15.1 |
15.9 |
15.6 |
15.1 |
16.5 |
| 4. Reserve Assets |
59.4 |
58.9 |
59.3 |
59.1 |
57.4 |
| Total |
100.0 |
100.0 |
100.0 |
100.0 |
100.0 |
| B. Liabilities |
| 1. Direct Investment |
38.1 |
38.1 |
38.3 |
38.6 |
38.3 |
| 2. Portfolio Investment |
19.3 |
18.6 |
18.3 |
17.8 |
17.6 |
| 3. Other Investment |
42.6 |
43.3 |
43.4 |
43.6 |
44.1 |
| Total |
100.0 |
100.0 |
100.0 |
100.0 |
100.0 |
| Table 3: Share of External Debt and Non-Debt Liabilities of India |
| (per cent) |
| Period |
Position as at end of |
| Dec-24 (PR) |
Mar-25 (PR) |
Jun-25 (PR) |
Sep-25 (PR) |
Dep-25 (P) |
| Non-Debt Liabilities |
46.6 |
45.4 |
45.8 |
45.2 |
44.7 |
| Debt Liabilities |
53.4 |
54.6 |
54.2 |
54.8 |
55.3 |
| Total |
100.0 |
100.0 |
100.0 |
100.0 |
100.0 |
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