Morgan Stanley Lowers Hopes for India Bond Inflows

Foreign ownership of FAR bonds increased from 3.5% to 6% of the outstanding amount in 2024

- Bloomberg

Indian bonds included last year in a key global benchmark will fail to draw as much money as previously estimated, according to Morgan Stanley.

Fully accessible route bonds will fall short of an initial $25 billion to $30 billion passive flow that was estimated to come in after their inclusion to the JPMorgan Government Bond Index-Emerging Markets, analysts Nimish M. Prabhune and Gek Teng Khoo wrote in a note.