IUP Series on Indian Debt Market Developments

The debt markets are vital for a country’s economy. A well-developed debt market helps in having an alternative route for raising finances. This will be essentially true in the case of projects having long gestation periods as in infrastructure projects. There have been several developments in the Indian debt markets of late, initiated by the Government in consultation with the RBI and the SEBI. The efforts have resulted in the investor base for the Government securities being widened. Previously, only commercial banks and insurance companies invested in the securities in large amounts so as to satisfy the statutory mandated investments. Mutual funds and Non-banking finance companies (NBFCs) entered the market in recent years and this has led to the broadening of the gilt markets. In comparison, the corporate debt market has not seen much of activity as that of the Government securities market. Eventhough the primary market in corporate debt has developed to a certain extent, the secondary market has not come up. Investor education is also stressed as that will play a crucial role in developing the markets. The recent developments are a step in the right direction and will help the Indian financial markets achieve a more balanced growth. In this context, this book, The Icfai University Press on Indian Debt Market Developments will make useful reading capturing the important developments in Indian debt markets. The book presents a series of well-written articles that bring out the essence of the happenings in the field.