Bond market supply likely to double to Rs 70 trillion by 2025: CRISIL

Innovations like asset pooling, credit guarantee and use of expected loss rating scale for infrastructure projects can help double the supply of corporate bonds to Rs 70 trillion by March 2025, according to CRISIL.
 
Over the five fiscal years, corporate bond issues outstanding could grow from Rs 33 trillion, or 16% of GDP, at the end of fiscal 2020 to Rs 65-70 trillion — tantamount to 22-24% of GDP — by the end of fiscal 2025.
 
This growth will have three drivers: investments, primarily for infrastructure; NBFCs and HFCs; and innovation to facilitate enhanced bond market funding for the NIP.