FTSE Russel Will Not Include India In Govt Bond Index
India will be retained on the Watch List for a potential upgrade to Market Accessibility Level ‘1’ and for consideration for inclusion in the FTSE Emerging Markets Government Bond Index (EMGBI)
Financial Times Stock Exchange Group (FTSE Russel Group) decided not to include India in a government bond index at this time a week after JPMorgan announced that India would be a component of its significant GBI-EM index suite beginning next year. FTSE Russell is a leading global provider of benchmarks, analytics, and data solutions with multi-asset capabilities.
“India will be retained on the Watch List for a potential upgrade to Market Accessibility Level ‘1’ and for consideration for inclusion in the FTSE Emerging Markets Government Bond Index (EMGBI). FTSE Russell continues to engage with its index users and Indian market authorities regarding ongoing market structure reforms,” said the organisation.
The benchmark 7.18 per cent 2033 bond yield dropped three basis points to 7.2126 per cent from 7.2414 per cent at Thursday’s close, while the rupee was trading marginally higher on the day of the announcement at 83.1000 to the USD after closing at 83.1850.
ICICI Bank predicted that India’s bond market may receive up to USD 10 billion before JPMorgan incorporates the nation’s debt into its emerging market index in mid-2024.