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:
- 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).
- 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).
- 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).
- 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).
- 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.
- 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 |
[1] India’s quarterly IIP is disseminated with a lag of one quarter and the previous quarterly IIP for end-September 2025 was released in the RBI website on December 31, 2025. |
