FPIs bat for India's entry into global bond indices

Inclusion in global bond indices can result in billions of dollars in incremental FPI flows

Foreign portfolio investors (FPIs) have once again drummed up the cause of making India part of the global bond indices created by index providers such as JPMorgan. 

This was done in recent interactions with the Securities and Exchange Board of India (Sebi), including during the latter’s roadshows to countries such as the US and the UK earlier this year. According to sources, Sebi has informally indicated to these investors that this is a difficult ask considering the apprehension around the volatility in the bond market such a move could bring.

It could not be ascertained if Sebi has formally communicated