Capital market organizes the flow of funds in economy. Mobilization of long term funds and direction of these funds into profitable and productive channels is major task of Viable Capital Markets. In era of Globalization in every field capital market cannot remain untouched from the effect of foreign investments. In India there are certain parameters that present the positive and negative sides of globalization impact on Economic development of India. This paper gives a brief view of those aspects of Globalised capital markets that are affecting the flow of long term funds inside and outside the country.
