Pune Media
Leading the news curation and publishing for the people of Pune

India govt bonds not added to key index, remain on watch: JPMorgan


India remains on the radar for inclusion in JPMorgan’s influential emerging market local currency debt index after a review on Tuesday, the bank said, dashing hopes that Asia’s third largest economy would be added this year.


Some investors had hoped the Wall Street bank would move towards including Indian bonds this year, following Russia’s exit from the GBI-EM benchmark tracked by an estimated $240 billion of funds globally.


But others cited investment hurdles “including a lengthy investor registration process and the operational readiness required for trading, settlement and custody of assets onshore,” said JPMorgan in a statement.


Last week, Reuters reported that India’s long wait to win inclusion in the index was set to be pushed out into next year due to a number of issues.


India said last month it wants global bond index operators to consider the local settlement of its government securities if they are included in their indexes.


The Indian government began considering listing its debt in global indexes in 2019 and has been in discussions with JPMorgan and Bloomberg Fixed Income Indices, while also talking to Euroclear about clearing and settlement.


India is one of the largest bond markets among emerging-market economies with more than $800 billion in outstanding debt.


JPMorgan only began considering India’s inclusion in its global bond index in 2021, a year after it began including China yuan-denominated debt.


Global index provider FTSE Russell said on Sept. 30 that it deferred including India in its FTSE Emerging Markets Government Bond Index.

(Only the headline and picture of this report may have been reworked by the Business Standard staff; the rest of the content is auto-generated from a syndicated feed.)



Images are for reference only.Images and contents gathered automatic from google or 3rd party sources.All rights on the images and contents are with their legal original owners.

Aggregated From –
Comments
Loading...

This website uses cookies to improve your experience. We'll assume you're ok with this, but you can opt-out if you wish. Accept Read More

Pune.Media
Typically replies within few minutes on a chat or a day via email
Hey There! I am here to help you :)
Hello there
Subscribe to our YouTube Channel so that we can get you awesome news from around the world!