Retail NCD issuance may touch record high

The total retail non-convertible debenture issuance this year could surpass their previous high of Rs 423.83 bn, witnessed in 2013-14

Retail bond issuance this year could reach record high as non-bank finance companies (NBFCs) find it difficult to raise resources from their traditional funder banks.

According to Icra Ratings, the total retail non-convertible debenture (NCD) issuance this year could surpass their previous highs of Rs 423.83 billion witnessed in 2013-14. That year, public sector units issued tax-free bonds worth Rs 330 billion. Since then, there has been no tax-free bond issuance. This year, issuance of tax-free bonds has not been announced by the government. Still, the issuance in the first quarter itself should cross Rs 200 billion, much higher than last