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RBI gives FPIs more flexibility to invest in corporate bonds

Mint Hyderabad

|

May 09, 2025

Experts call it a positive move for the Indian corporate bond market and for lower-rated and short-term paper

- Shayan Ghosh

The Reserve Bank of India (RBI) on Thursday allowed foreign investors greater freedom to buy Indian corporate bonds, giving them a chance to purchase more short-term paper.

The central bank removed short-term investment and concentration limits from its rules governing foreign investments in corporate bonds. This, it said, will provide greater ease of investment to foreign portfolio investors (FPIs).

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