Relations between India and Canada have deteriorated once again. The Canadian PM has once again made absurd allegations against India, in response to which India has recalled its officials from Canada. The market and market experts are keeping an eye on this entire matter. Actually, Canada has a huge exposure in India and the market fears that the new phase of tension started at the diplomatic level may affect the economic relations. According to the data of the end of September, investment in domestic equity by Canadian investors has reached the level of 24 billion dollars i.e. about 2 lakh crore rupees. With this investment, Canada is the 9th largest country to invest in India. USA is at the top of the list, followed by Singapore, Luxembourg, Ireland, Mauritius, UK, Norway and Japan.
Foreign portfolio investors hold about 20 per cent of domestic equity, which is equivalent to about $930.5 billion. US investors hold 43 per cent of it. At the same time, investors from Singapore and Luxembourg hold 7.4-7.4 per cent. According to SEBI data till March 2024, 11219 foreign portfolio investors from different regions around the world are registered in India. Out of this, 3457 registrations are from America, 1393 investors are from Luxembourg and 804 investors are from Canada. India is one of the investor's favorite markets for Canadian pension funds. These pension funds have invested money in India's infra renewables, real estate and other sectors. The Board of Canada Pension Plan Investment has stakes in Delhivery, Zomato, Nykaa, Indus Towers and Kotak Mahindra Bank. At the same time, a Canadian company holds 30 per cent stake in Aditya Birla Sun Life AMC.
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