A position detecting device is disclosed for use with a position indicator. The position detecting device includes a coil substrate, a magnetic path material, and a shield material. A coil for generating an alternating magnetic field for electromagnetic coupling with the position indicator is disposed on the coil substrate. The magnetic path material is composed of a material having such permeability as not to disturb direct current magnetic flux but to form a magnetic path for the alternating magnetic field generated by the coil, and having predetermined electrical resistance for suppressing flow of an eddy current in order to enhance the material's performance as a magnetic path. The shield material is a non-magnetic substance that does not disturb the direct current magnetic flux due to the direct current magnetic field and that has electrical conductivity for generating an eddy current based on the alternating magnetic field.