Corporate bond market News

India's $51.58 trillion corporate bond market is highly conservative, with 79% concentration in AAA/AA ratings, which hinders funding for mid-tier firms and is driven by institutional regulation and risk-averse sentiment.

Crisil noted that corporate India's leverage is at its lowest level in a decade, and the credit profiles of infrastructure assets have improved.  

The Securities and Exchange Board of India (Sebi) has invited public comments on the draft circular till September 6.  

Sebi chairman Ajay Tyagi noted that the Sebi has already relaxed the norms related to issue of capital and disclosure requirements as well as regulations on substantial acquisition of shares and takeovers to align with the new Bankruptcy & Insolvency Code.

RBI Governor Raghuram Rajan on Friday welcomed the Finance Ministry's move to bring in a Bankruptcy Code, saying it will help bankers resolve asset stress and also infrastructure financing by deepening the corporate bond market.  

India's financial services sector offers huge opportunities to US companies and both the nations must increase cooperation in areas, including, infrastructure financing, insurance, pension and corporate bond market, a Ficci report said on Tuesday.

Capital markets regulator Sebi has notified a new regulation to allow re-issuance of existing debt securities by a corporate issuer within a specified time period rather than launching a new issue.

Sebi has written to the government asking for access to recovery mechanisms to other investors beyond banks and financial institutions.

As the government seeks to create a 'vibrant, deep and liquid' corporate bond market, regulator Sebi has approached RBI and Ministry of Corporate Affairs, among others, to address certain impediments in this regard.

The CII report analysed the models of both emerging and developed countries like Brazil, Chile, South Korea, China, Singapore, Japan and the United Kingdom