Indian equity inflows from Russia tripled in FY25, highest in four years: Report

New Delhi [India], December 2 (ANI): The Russian capital inflows into Indian equities have recorded a spurt, with inflows from Russia tripling in FY25 to USD 18.45 million from USD 5.16 million in FY24, according to a report by Rubix Data Sciences.

It said that on the investment front, Russian FDI equity inflows into India surged more than threefold in FY2025 to USD 18.45 million, up from USD 5.16 million in FY2024, marking the highest level in four years and a renewal in economic engagement between the two countries.

The investment was primarily in trade, maritime cooperation, payment systems, civil aviation, and defence.

The report highlighted that the total goods traded between India and Russia recorded a robust 70% CAGR from FY21 to FY25.

Notably, India's trade deficit also widened by almost 20 times during this period. In FY21, India sourced barely 2% of its crude oil imports from Russia. But in FY25, it increased to 35%, making the former Soviet state India's largest crude oil supplier, with trade value exceeding USD 50 billion.

The report further highlighted that India's crude oil imports from Russia are projected to reach their highest level in November this year, but may start declining from December onwards, driven primarily by pre-deadline stocking by Indian refiners, discounted pricing, and shifting global energy flows.

However, Kpler expects Russian crude flows to India to recover in early 2026, routed increasingly through intermediaries and a more complex trade channel.

Russia's overall exports are mainly led by three energy products - crude oil, petroleum products, and natural gas. The share of these products in the total exports has increased to 52% in 2024 from 30% in 2021. Overall, Asia now accounts for nearly 95% of Russia's crude oil exports. China is the top buyer, followed by India.

The study also points out that, despite mounting international pressure, India continues to strengthen its defence partnership with Russia by exploring opportunities for the SU-57E stealth fighter, an advanced variant of the BrahMos missile, and the S-400 air defence missile system.

Russian President Vladimir Putin will pay a state visit to India from December 4-5 at the invitation of Indian Prime Minister Narendra Modi. During the visit, Putin will attend the 23rd India-Russia Annual Summit and hold talks with PM Modi.

Ahead of President Putin's visit, Russia's First Deputy Prime Minister and Co-chair of the India-Russia Inter-governmental Commission on Trade, Economic, Scientific, Technological and Cultural Cooperation Denis Manturov, said Putin's upcoming visit to India marks a "return to the tradition of annual high-level summits," describing it as a significant step toward deepening the strategic partnership between the two countries.

"This will be President Putin's first visit to India in a long period," Manturov said during an exclusive interview with ANI, adding that both sides had "thoroughly prepared the agenda" to ensure the meetings on December 4-5 are productive. (ANI)

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