Foreign portfolio investors (FPI) pulled nearly Rs 5,109.21 crore in the last three days from government securities under the fully accessible route amid dampened sentiments due to global uncertainty. Under the fully accessible route (FAR), eligible overseas investors are allowed to buy and sell certain government securities without any cap. According to the Clearing Corporation of India (CCIL), FPI investment in government securities under FAR stood at Rs 366,806.286 crore as on September 15, as compared to Rs 371,915.496 crore as on September 9. The investment stood at Rs 371,520.751 crore as on September 10 and Rs 366,791.286 crore as on September 11, data showed. "We saw notable selling by FPIs in G-Secs under the FAR route. Elevated crude prices, hovering around USD 110 amid the worsening US-Iran war situation, coupled with US Treasury yields nearing the 5 per cent mark and persistent pressure on the rupee, have made Indian sovereign debt relatively less attractive to foreign
The move extends a relaxation Sebi had first carved out in September 2025 for FPIs investing only in government bonds under the Fully Accessible Route
The selloff in bonds was amplified by a spike in crude prices that intensified inflation and rate hike fears for the world's third-largest oil importer
Foreign lenders with relatively small loan books emerge most active buyers; bond yields soften
FPIs pull out nearly ₹13,000 crore in June and the rupee continues to be under pressure
Benchmark 6.94 per cent 2036 yield seen at 6.85-6.90 per cent after US rate-hike signals lift Treasury yields
Global fund managers are turning more positive on India, citing improved policy flexibility and stronger differentiation from other emerging bond markets
After securing entry into JPMorgan, Bloomberg EM and FTSE Russell indexes, India is now pushing for inclusion in Bloomberg's Global Aggregate Index
Government bond yields climbed as crude oil and US Treasury yields rose, while improved liquidity conditions pushed overnight rates below the policy repo rate
Derivatives linked to state debt are gaining momentum as the yield gap between provincial and benchmark notes widens to a multi-year high
No trades have been executed on a portal set up in July 2024 by the nation's sovereign debt clearing house, as market players await clarity
Central bank set premature redemption price for tranche at Rs 14,130 per unit
Index provider says it needs to assess operational and market infrastructure issues, with an update due mid-2026
The yield on the benchmark 10-year government bond settled at 6.61 per cent, against the previous close of 6.64 per cent
Optimism building around potential announcement of an OMO calendar
These comments come a week ahead of the meeting of the six-member monetary policy committee that starts from December 3. The decision in the meeting will be announced on Friday, December 5
Government bond yields dropped as traders anticipated Reserve Bank of India support through open market purchases, with expectations of an OMO calendar announcement boosting sentiment
The meeting, though without a formal agenda, is expected to focus on current market conditions, the traders said, declining to be named as they are not authorized to speak to the media
What NSE and BSE are to the equity market, CCIL is far more than that for the govt bond, foreign exchange and OTC derivative markets
India currently has 41 securities under the fully accessible route (FAR), valued at $502 billion, with no foreign investment limits