Foreign Funds Pour $4.4 Billion Into Indian Bonds After Tax Scrap

2 articles · Updated · Bloomberg · Jul 1

418 billion rupees ($4.4 billion) flowed into India’s fully accessible route bonds in June, the strongest monthly foreign buying on record, according to Clearing Corp. of India data.
The surge followed the government’s decision to scrap taxes on foreign investors, boosting demand for debt open to unrestricted global investment.
June’s inflow was almost double the previous monthly record of 239 billion rupees set in August 2024.
The buying adds to a broader June rush into Indian debt, with index-eligible bonds drawing $5.2 billion as overseas investors increased exposure to the asset class.