Overseas demand rises for Indian bonds

Aug 17, 2010

Foreign institutions have hit their investment limits for corporate and government bonds in India, according to RBS, but those thresholds are likely to rise.

Foreign institutional investors have recently become a driving force in India’s secondary market for corporate bonds, accounting for almost half of overall volumes in the first four months of 2010, says UK bank RBS. They have also hit their ceiling for investments in government securities (GSecs).

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