Explainers
The base you need to understand the news — concepts, terms and ideas, explained from zero.
What are FIIs and FII outflows?
FIIs are large foreign investors — like overseas funds and insurance firms — that buy Indian shares and bonds. When they sell and take money out, it is called an FII outflow, which can push down markets and weaken the rupee.
What is the balance of payments?
The balance of payments (BoP) is India's full financial scorecard with the world — every dollar coming in and going out. It has two halves: the current account (everyday dealings) and the financial account (investment money).
What is a current account surplus or deficit?
The current account is the running record of India's everyday money dealings with the world — goods, services, remittances and investment income. More earned than spent is a surplus; more spent than earned is a deficit.