For Quick Alerts
For Daily Alerts

Indian Bonds Surge After RBI Launches New Category For Foreign Investors


On March 31, 2020, after the Reserve Bank of India (RBI) introduced a new foreign investment category Indian bonds rallied in trade. The sentiment was further boosted by hopes of a cut in borrowing plan for the month of April or cancellation before the borrowing plan for the first half of FY21. Bond prices and bond yield share an inverse relationship and consequently yield on benchmark 10-year government bonds fell to 6.07%.

Indian Bonds Surge After RBI Launches New Category For Foreign Investors

On Monday, in line with the budget announcement, RBI unveiled a new category for foreign investors called the "fully accessible route". Under this scheme, investors can purchases all new issuances of 5-, 10- and 30-year bonds from April 1. Further, five existing bonds can also be held under the category, said the RBI.

Story first published: Tuesday, March 31, 2020, 15:45 [IST]
Company Search
Get Instant News Updates
Notification Settings X
Time Settings
Clear Notification X
Do you want to clear all the notifications from your inbox?
Settings X
We use cookies to ensure that we give you the best experience on our website. This includes cookies from third party social media websites and ad networks. Such third party cookies may track your use on Goodreturns sites for better rendering. Our partners use cookies to ensure we show you advertising that is relevant to you. If you continue without changing your settings, we'll assume that you are happy to receive all cookies on Goodreturns website. However, you can change your cookie settings at any time. Learn more