Indian Investors Benefited On June 4, While FIIs Incurred Loss: Piyush Goyal

Senior BJP leader Piyush Goyal said Indian investors benefited while foreigners incurred loss on June 4—the day equity markets faced their worst selloff in over four years.

"In April and May, when the market was rising, foreigners sold in the market and Indian investors took advantage of it and bought it. The benefit of this rise in the last two months has been received by Indian investors," Goyal said at a press conference on Thursday.

The former Union Minister said overseas investors bought Indian shares at high price after the exit polls came (on June 3) while Indians sold and booked profit.

"The next day, when the results came on June 4, when the market fell, foreign investors sold shares at a low price and Indian investors bought them with the belief that Modi government is coming and we will take advantage of it," he said.

The leader was responding to Congress MP Rahul Gandhi's demand to probe the stock market movement during the period that saw the benchmark indices swing from highs to lows in just two days.

"India's equity market has entered the market cap of the top five economies of the world... We know that the market cap of PSUs listed in the market has increased four times under the Modi government," Goyal said.

He also noted the market capitalisation of listed Indian companies soared from Rs 67 lakh crore at the end of the Congress-led UPA's term, to Rs 415 lakh crore now after 10 years of the Modi government.

"The holding of foreigners at the time of UPA was 21% and it has reduced to 16% today, that is, the investment of foreigners has reduced and the ownership of Indian investors in the Indian stock market has increased from 79% to 84% today," he said. "Small retail investors have ensured that India's ownership today has instantly become more than the ownership of institutional investors," he added.

Goyal also said that all reforms will continue. "The country is poised for a bright future ahead. We are delighted that our allies are equally progressive. They support reform, they support what is good for the people of India."

"They understand that the 10 years of the Modi government have taken the country to newer heights and have the confidence that under Prime Minister Narendra Modi's able leadership... the big vision with which he has taken the country to today's position of being the world's fastest-growing large economy, they are confident that under his leadership, this country will continue to do better and better and become the worlds third-largest economy while continuing the growth that we are witnessing in the last few years."