India’s $64.5 Billion Borrowing Plan to Help Calm Bond Markets

  • Borrowings in line with 60%-62% usually raised until September
  • Government to resort to higher WMA from Reserve Bank of India
Photographer: Dhiraj Singh/Bloomberg
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India announced a fiscal first-half borrowing number that’s lower than what traders expected, as it seeks to check any rise in yields amid a global risk aversion that’s sparked outflows from emerging markets.

The government plans to sell 4.88 trillion rupees ($64.5 billion) of bonds in the six months to September, or 62.5% of the budgeted 7.8 trillion rupees, Economic Affairs Secretary Atanu Chakraborty told reporters in New Delhi. That in line with the usual 60%-62% that authorities usually typically raise in the first half of each year.