logo
Private investors showed confidence in US economy, invested USD 333.2 bn in May

Private investors showed confidence in US economy, invested USD 333.2 bn in May

Times of Oman7 hours ago
New Delhi: Private investors around the world continue to show strong confidence in the United States economy, with the country receiving high foreign inflows in May 2025.
According to the monthly data released by the U.S. Department of the Treasury, foreign private investors poured in USD 333.2 billion during the month, making US a highly attractive investment destination.
The data is part of the Treasury International Capital (TIC) report for May 2025. The total net foreign inflow, which includes acquisitions of long-term and short-term U.S. securities and banking flows, stood at USD 311.1 billion. This figure includes both private and official investment flows.
Out of the total, net foreign private investment inflow of USD 333.2 billion, net foreign official outflows were at USD 22.1 billion.
This shows that the major push in foreign investment came from private investors, as official institutions slightly reduced their holdings.
The TIC (Treasury International Capital) data tracks cross-border capital flows into and out of the United States. It includes Foreign holdings and purchases of U.S. securities (e.g., Treasury bonds, stocks, corporate bonds), U.S. purchases of foreign securities, Banking liabilities and custody flows.
In May, foreign residents have also increased their holdings of long-term US securities. The net purchase of these securities reached USD 318.5 billion.
Out of this, private foreign investors contributed USD 287.5 billion, while foreign official institutions bought USD 31.1 billion worth of long-term U.S. securities.
Meanwhile, U.S. residents also increased their investments abroad. They bought USD 59.1 billion worth of long-term foreign securities in May, showing that US remains a strong investment hub, American investors are also exploring opportunities in overseas markets.
When including adjustments such as estimated foreign acquisitions of U.S. stocks through stock swaps, the overall net foreign sales of long-term securities are estimated to have been USD 259.4 billion in May.
Short-term investments also saw movement. Foreign residents increased their holdings of U.S. Treasury bills by USD 0.5 billion.
Orange background

Try Our AI Features

Explore what Daily8 AI can do for you:

Comments

No comments yet...

Related Articles

G20 nations back central bank independence
G20 nations back central bank independence

Observer

time29 minutes ago

  • Observer

G20 nations back central bank independence

G20 nations said on Friday the independence of central banks was crucial to achieving price stability in the face of geopolitical and trade tensions. "Central banks are strongly committed to ensuring price stability, consistent with their respective mandates and will continue to adjust their policies in a data-dependent manner", the grouping said in a joint declaration after finance ministers' meeting in South Africa, which holds the rotating presidency of the bloc. The G20, which emerged as a forum for cooperation to combat the 2008 global financial crisis, failed to reach a joint stance when finance ministers and central bankers met in February, to the dismay of hosts South Africa. An agreement now in the coastal city of Durban would be considered an achievement even though G20 communiques are non-binding and the precise wording is unclear. "I don't think it's a secret. It hasn't been issued yet, but there's going to be a communique", Raymond Gilpin, chief of strategy, analysis and research at the United Nations Development Programme Africa, said on Friday. Canadian Finance Minister Francois-Philippe Champagne said he was cautiously optimistic the meeting would result in a final communique. An official of another G20 country, who requested not to be identified, expressed similar optimism. "We have to see the final text, but I think it's important that we reached a communique and common language. That's an improvement from the last G20", Dutch Finance Minister Eelco Heinen said. South Africa, under its presidency's motto "Solidarity, Equality, Sustainability", has aimed to promote an African agenda, with topics including the high cost of capital and funding for climate change action. Delegates at the meeting sought to agree lines on global economic challenges, including the uncertainty created by trade tensions, as well as wording on climate finance. Some officials said that the language in the agreement could stress the benefits of free trade and not label tariffs as bad and reference extreme weather events to avoid terms like climate change. Two delegates said the challenge was establishing what language Washington would accept, a task made harder by the absence of US Treasury Secretary Scott Bessent from the two-day meeting. Bessent skipped February's Cape Town gathering as well, which several officials from China, Japan and Canada also did not attend, even though Washington is due to assume the G20 rotating presidency in December. Bessent's absence was not ideal, but the US had been engaging in discussions on trade, the global economy and climate language, said a G20 delegate, who asked not to be named. Finance ministers from Brazil, China, India, France and Russia also missed the durban meeting, though South Africa's Central Bank Governor Lesetja Kganyago said what mattered was that all G20 countries were represented. The meeting is taking place under the shadow of Trump's tariff policies which have torn up the global trade rule book and clouded the economic outlook. German Finance Minister Lars Klingbeil said he made clear to his counterparts from the Group of Seven major economies on Friday that the global trade conflict must be ended quickly. The G7 discussions were on the sidelines of the G20 meeting. "What I take home from this is that I hear a lot of countries advocating for free trade and the importance of free trade. It's under pressure right now. It's not good for the world", the Dutch finance minister said. — Reuters

India's economy is in good shape, can grow faster with investment in infrastructure, trade: Sanjeev Sanyal
India's economy is in good shape, can grow faster with investment in infrastructure, trade: Sanjeev Sanyal

Times of Oman

time4 hours ago

  • Times of Oman

India's economy is in good shape, can grow faster with investment in infrastructure, trade: Sanjeev Sanyal

New Delhi: Prime Minister's Economic Advisory Council member and economist Sanjeev Sanyal on Friday stated that India's economy is in good shape, but it can grow even faster with consistent investments in infrastructure, the forging of trade agreements, and improvements in the ease of doing business. Speaking with ANI, Sanjeev Sanyal said, "So we are in good shape, but can we grow faster? Yes, but for that, we will need to first put in place things like free trade agreements. We will have to keep investing in our own infrastructure and ease of doing business, so it's not like growth somehow naturally happens." Talking about the efforts for the country's economic growth, Sanyal said that the efforts are being made to take advantage of even the uncertain times. "It requires effort, and we are putting in that effort, and the idea is that as and when we settle into the new environment, we can take full advantage of this and grow at more than 7-8 per cent. I mean there's no reason we shouldn't aspire to grow at 8 per cent every year, but that requires that the external environment be such that we are able to do it," Sanyal said. On US trade tariffs, Sanyal said that India has been successful in navigating the turbulent trade situations as the country is signing pacts with new geographies. "Old order is breaking down and there will be a period of turbulence, but as you have noticed, we have navigated this reasonably well, and we also will participate in the rulemaking of the new order. And we are taking proactive steps, as you may be aware. We are signing free trade agreements with a large number of countries. We already have some with countries like Japan, Australia, the UAE, the UK, and so on," he said. "We're in advanced discussions with the European Union and the United States. So let me say that we are fully cognisant of the environment in which we are. Our purpose is to provide as much of a cushion to our domestic economy so that we can keep growing," Sanyal added. Earlier this May, Sanyal had said that India's economic growth rate of 6 to 7 per cent is a result of many "process reforms" undertaken that are not part of the headlines. India continues to be among the fastest-growing major economies and is expected to maintain this momentum over the coming years, according to global agencies. Speaking in Bengaluru at a seminar titled 'Reforms: Way To Vikasit Bharath', Sanyal, said, "process reforms are an important part of reforms."

Rural demand revival to boost FMCG, Auto and Mobile phone sales: Report
Rural demand revival to boost FMCG, Auto and Mobile phone sales: Report

Times of Oman

time7 hours ago

  • Times of Oman

Rural demand revival to boost FMCG, Auto and Mobile phone sales: Report

New Delhi: The revival in rural demand is expected to play a key role in supporting the recovery of key consumption sectors such as FMCG, consumer durables, automobiles, mobile phones, housing, and apparel, according to a report by PL Capital. The report highlighted that rural demand, which has been ahead of urban demand for the past few quarters, is likely to gain further strength in the coming months due to steady sentiment, rising income and improved agriculture output because of favourable monsoon. It stated, "This recovery will support consumption in FMCG, durables, auto, housing, appliances, mobile phones and apparel etc". The report mentioned that the rural households are showing greater resilience, driven by improved agricultural output and increased government spending on rural development. The rural Consumer Sentiment Index (CSI) has improved steadily from 96.5 in January 2024 to 100 by May 2025. At the same time, the Future Expectations Index (FEI) also rose from 124.3 to 125.9, indicating growing optimism in rural areas. According to the report, the ongoing progress of monsoons and moderation in inflation will help sustain and lift rural demand further. It stated, "Rural sentiments steady, normal monsoons may lift it further" A key factor contributing to this positive trend is improved Kharif sowing, which is up 11.1 per cent year-on-year in Q1 of 2025. Expectations of a healthy Rabi season, supported by normal monsoons, adequate soil moisture, and strong water reservoir levels, are also likely to boost rural incomes across major crop-producing states. Higher rural incomes are expected to directly translate into increased consumption of everyday goods and big-ticket items. This will benefit sectors like fast-moving consumer goods, household appliances, two-wheelers and entry-level cars, mobile phones, and clothing. In addition, the impact of recent tax cuts on consumption is likely to become more visible from August, aligning with festive demand during Raksha Bandhan, Ganesh Chaturthi, and Onam.

DOWNLOAD THE APP

Get Started Now: Download the App

Ready to dive into a world of global content with local flavor? Download Daily8 app today from your preferred app store and start exploring.
app-storeplay-store