BRICS-backed bank plans first ₹-denominated bond

The plan comes at a time when China and India are both pushing for greater international acceptance of their currencies and as investors are seeking to diversify their assets beyond developed markets

- REUTERS

The BRICS countries-backed New Development Bank (NDB) plans to issue its first Indian rupee-denominated bond in the domestic market before end-March 2026, three sources familiar with the matter said.

NDB, which has previously raised funds in Chinese yuan and South African rand, is in advanced stages of discussions with the Indian central bank for its debut rupee issuance, the sources said. It will look to raise between $400 million and $500 million through 3-5 year bonds in the first tranche, one of the sources said.

Earlier this week, China rolled out measures to support the development of yuan bonds in Hong Kong and, over the past few months, the Indian central bank has announced steps to allow wider investment options for foreign funds held in Indian bank accounts.