Bonds Tumble in India on Record Government Borrowing Plan
- India to sell gross 14.95 trillion rupees of bonds in FY23
- 10-year bond yields may jump to 7% without support: FirstRand
Reserve Bank of India is expected to wind back on its monetary stimulus this year.
Photographer: Dhiraj Singh/BloombergThis article is for subscribers only.
India’s benchmark bond yields surged to the highest in two and a half years after the government unveiled plans to issue record amount of bonds in the next financial year.
The selloff was exacerbated as the annual budget announcement lacked widely expected measures to facilitate inclusion of the nation’s debt into global bond indexes. Elevated bond sales will worsen debt supply worries in a year when the Reserve Bank of India is expected to wind back on its monetary stimulus.