Corp bond issues hit slow lane in Aug

The first four months of FY26 had witnessed record fund raising of ₹4.07 trillion

- ANJALI KUMARI & MANOJIT SAHA

Indian corporates, after raising a record ₹4.07 trillion through debt in the first four months of the current financial year, have slowed down in August, with no major issuances seen so far amid elevated yields.

Market participants said that the bond market is currently in a wait-and-watch mode due to multiple uncertainties amid supply pressures from state bonds and central government bonds. The key concerns include expectation of additional borrowing for fiscal deficit management due to GST rate cut, and global risks like US tariffs and trade tensions.

Large non-banking financial companies—both private and state-run—which consists 60 per cent of the market have also stayed away in August as loan demand remained tepid with slowdown in economic activities.