In a significant shift in investment strategy, non-resident Indians (NRIs) based in the Gulf Cooperation Council (GCC) countries are increasingly directing their financial resources towards Indian equities while divesting from real estate holdings. This trend is highlighted in a recent report by Equirus Wealth, a Mumbai-based wealth management firm, which surveyed 8,300 NRI clients across the UAE, Saudi Arabia, Qatar, Kuwait, Oman, and Bahrain. The survey was conducted in April 2026 amid rising tensions in the region, prompting a reevaluation of investment priorities among the Indian diaspora.
The findings indicate a decisive preference for Indian stocks and mutual funds, with 73 percent of respondents planning to increase their exposure to these assets. Furthermore, 42 percent identified equities as their primary choice for new capital deployment, significantly outpacing fixed income investments at 23 percent and a wait-and-watch approach at 15 percent. In contrast, the report reveals that 40 percent of respondents are actively reducing their real estate investments, a trend the report characterizes as a structural exit rather than mere portfolio rebalancing. This strategic pivot underscores a growing confidence in the potential of Indian equities amidst an uncertain geopolitical landscape.
Investor sentiment appears resilient despite ongoing regional conflicts, with the survey recording a mean financial confidence score of 3.50 out of 5. A notable 86 percent of participants reported stable or improved financial confidence compared to the previous year. Among the behavioral responses to the current economic climate, an increase in savings was noted by 35 percent of respondents, followed by a reduction in discretionary spending and selective shifts within investment portfolios, rather than impulsive liquidation of assets. Additionally, the report highlights a notable change in remittance patterns, with investments in India and retirement planning accounting for nearly half of all stated remittance intentions, surpassing traditional family support transfers for the first time.
Confidence levels varied across the surveyed countries, with Kuwait reporting the highest average score of 3.93, followed closely by the UAE and Qatar. Bahrain, however, lagged with a score of 2.75, indicating more cautious sentiment among its NRIs. Notably, the demographic of respondents skews towards long-term expatriates, with 84 percent having lived in the GCC for over a decade, and 38 percent for more than 20 years. This demographic trend suggests that the investment decisions reflected in the survey are based on long-term considerations rather than reactive strategies to immediate market fluctuations. As GCC-based NRIs continue to navigate a complex investment landscape, their shift towards Indian equities could signal a broader trend in response to evolving economic conditions and geopolitical uncertainties.