TELECOM TURNS TIDE WITH CAPITAL SPEED AND CONFIDENCE

Record FPI inflows and strong policy support signal a new era for Indian telecom as global investors bet big on its digital growth and resilience.

- LT GEN DR SP KOCHHAR

India’s telecom sector is not just about connecting people; it is about connecting ambitions, powering dreams and transforming the nation’s digital landscape. As we move through 2025, the sector's remarkable journey from a low-cost, high-volume market to a global leader in digital infrastructure is drawing the world’s attention.

The numbers tell their own story: India is now the world's second-largest telecom market, with over 1.2 billion subscribers anda tele-density of 85%. This massive network has become the backbone of India’s digital revolution, enabling everything—from digital payments and telemedicine to e-learning and e-governance.

The sector's pivotal role in supporting next-generation technologies, including 5G, Artificial Intelligence (AI), the Internet of Things (IoT), and cloud computing, has made it a magnet for global investors. The telecom sector in India is now seen as a case study for emerging markets looking to leapfrog into the digital age.

TELECOM TOPS CHARTS WITH RECORD FPI INFLOWS IN 2025

If there is one indicator that truly reflects global confidence, it is the flow of foreign portfolio investment (FPI). In 2025, Indian telecom is leading the pack. According to data from the National Securities Depository Ltd. (NSDL), telecom stocks attracted a record USD 1.88 billion in FPI inflows in May 2025. To put this in perspective, this accounted for 41% of all overseas equity inflows into India that month, the highest ever for the sector and a dramatic leap from USD 523 million in April.

India’s telecom story is no longer just about connectivity—it is about resilience, capital confidence, and digital ambition on a global scale.

What triggered this surge?