Fragile-Five Selloff Cuts Rupee Issues to ’07 Low: India Credit

India’s rupee bond market is the quietest since the global financial crisis as a selloff in emerging markets and inflation near 10 percent sap demand.

Corporate issuance dropped 63 percent so far this year to 53 billion rupees ($849 million), the least since the same period in 2007, according to data compiled by Bloomberg. While consumer-price inflation cooled to 9.87 percent last month from 11.16 percent in November, it was still the highest among 18 Asia-Pacific economies tracked by Bloomberg. That prompted the Reserve Bank of India to raise its repurchase rate a quarter-point to 8 percent on Jan. 28.