Pictet, Neuberger Boost India Bond Bets as Reforms Draw 322.8 Billion Rupees

1 articles · Updated · Bloomberg · Jun 18

322.8 billion rupees ($3.4 billion) has flowed into India’s index-eligible government bonds since New Delhi’s June 5 reforms, prompting Pictet Asset Management and Neuberger Berman to plan bigger positions.
June 5 measures removed taxes on debt holdings for foreign investors and eased ownership caps, while broader policy steps helped steady the rupee and improved the market’s appeal.
M&G Investments has also turned more positive on Indian bonds after the changes, though part of the inflow reflects more securities being added to the index-eligible pool.
The shift signals stronger foreign demand for India’s sovereign debt as policymakers use market-access reforms and currency stability to attract overseas capital.