India Joins JP Morgan Global Bond Index: Boost for Economy and Rupee

India's inclusion in the JP Morgan Global Bond Index – Emerging Markets is set to begin on June 28, 2024, with a phased approach over ten months, culminating in a 10% weight by March 2025. This move will attract substantial foreign investment, bolster the rupee, and counterbalance equity market outflows. Only Fully Accessible Route (FAR) bonds are eligible, with 28 such bonds meeting the criteria. The inclusion is expected to lower borrowing costs for the government by reducing yields, promoting infrastructure spending, and enhancing investor confidence in India’s economic stability.

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