Budget 2019: In a first, India to issue sovereign bonds in global market

By issuing the bonds, however, the government will have to manage its policies extremely well

The government will finally introduce an Indian sovereign bond to the world, which can be used to mop up at least $10 billion, or about Rs 70,000 crore, according to tentative plans.

“India’s sovereign external debt to GDP (gross domestic product) is among the lowest globally at less than 5 per cent. The government would start raising a part of its gross borrowing programme in external markets in external currencies. This will also have beneficial impact on demand situation for the government securities in domestic market,” Finance Minister Nirmala Sitharaman said in her maiden Budget speech for 2019-20. 

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