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RBI Gives FPIs More Flexibility to Invest in Corporate Bonds

Mint Chennai

|

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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