Foreign Investors Bullish on PSU Banks Amidst Market Sell-Off

• Foreign Portfolio Investors (FPIs) are consistently increasing their stake in government banks despite broad selling in the Indian market.
• This trend is driven by attractive valuations and improving growth prospects of PSU banks.
• Bank of Maharashtra is a top pick, with FPI stake rising from under 0.5% to 5% in two years.
• Significant FPI stake increases observed in Union Bank of India, Canara Bank, SBI, and other PSU banks.
• The Nifty PSU Bank Index surged 60% in the last year, yet valuations remain attractive compared to private banks.