In a significant development that could pull in foreign funds into India's debt market, JPMorgan Chase & Co added Indian government bonds to its benchmark emerging-market index starting June 28.
Overseas investments into India's sovereign bonds (or G-Secs) were firm last week with an inflow of USD 403 million, soon after the government bonds were officially added to the JPMorgan Chase & Co's benchmark emerging-market index -- Government Bond Index-Emerging Markets (GBI-EM).
The inclusion of Indian government bonds in the JPMorgan Government Bond Index-Emerging Markets index could be seen as yet another sign of its growing appeal to global investors as it continues to remain one of the fastest-growing major economies.