India is set to reapply for inclusion in major global bond indices after introducing tax exemptions for foreign investors. The country has also expanded its pool of long-dated securities to strengthen its appeal.
Officials are engaging with global index operators and the Bank for International Settlements on the matter. The steps follow significant tax exemptions on capital gains and withholding taxes for foreign investors. These measures are intended to draw substantial foreign investment into Indian government bonds. Keywords associated with the plans include the Bloomberg Global Aggregate Index and sovereign debt in global bond gauges. The initiative targets greater participation by foreign portfolio investors in India.