Capital flows creates a positive and significant impact on the growth and development of a country when the magnitude of those flows is high, steady and stable. The international capital flows, whether in the form of direct or portfolio investment has a potential to contribute in the economic growth and development of an economy. A vigorous debate on globalisation process highlights both its advantages and disadvantages. Supporters of globalisation suggest that opening up to global capital markets can make crucial investment funds available at a lower cost, enhance risk sharing, besides ensuring transfer of technology. Opponents suggest that global capital flows are volatile and move for reasons unrelated to fundamentals causing financial disruption and economic volatility. Decoupling from the global capital market through the use of capital controls can help protect a country from temperamental financial markets. it is very Important to assess and analyse the historical trends and pattern of private capital flows across the boundaries of the different countries in the world. The present study attempts to explain the historical trends of private capital inflows (CAPF).