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India's local bonds will be included in the Government Bond Index-Emerging Markets (GBI-EM) index and the index suite, benchmarked by about $236 billion in global funds according to JPMorgan. JPMorgan said 23 Indian Government Bonds (IGBs) with a combined notional value of $330 billion are eligible. "India's weight is expected to reach the maximum weight threshold of 10% in the GBI-EM Global Diversified (.JPMGBIEMGD), and approximately 8.7% in the GBI-EM Global index," said JPMorgan. Foreign investor buying in Indian bonds has remained tepid with net purchases of $3.4 billion so far in 2023. The Indian rupee rose 0.3% in offshore trade before local markets opened while traders expected local bond yields to fall sharply.
Persons: Thomas White, , Sanjeev Sanyal, Aftab Ahmed, Rodrigo Campos, Sarita Singh, Chris Reese, David Gregorio, Christian Organizations: REUTERS, JPMorgan, Government Bond, Global, Council, Securities, DBS, Thomson Locations: India, Egypt, New Delhi, New York
Participants at the meeting, however, are likely to focus on the war in Ukraine. The G20 bloc includes the wealthy G7 democracies, as well as Russia, China, India, Brazil and Saudi Arabia. French Finance Minister Bruno Le Maire told Reuters that G20 financial leaders must condemn Russia's aggression against Ukraine and that Europe was working on new sanctions against Moscow. G7 chair Japan's finance minister, Sunichi Suzuki, told reporters that the group would closely monitor the effectiveness of sanctions and "take further actions as needed". German Finance Minister Christian Lindner said the pressure on Russia must be kept high to "completely isolate" Russia's economy.
[1/4] India's Finance Minister Nirmala Sitharaman holds up a folder with the Government of India's logo as she leaves her office to present the federal budget in the parliament, in New Delhi, India, February 1, 2023. REUTERS/Adnan AbidiNEW DELHI, Feb 1(Reuters) - India will focus on economic growth and job creation, the finance minister said on Wednesday presenting the government's last full budget in parliament before a general election due next year that Prime Minister Narendra Modi is projected to win. The aim is to have strong public finances and a robust financial sector for the benefit of all sections of the country, Nirmala Sitharaman said. She added that despite a global slowdown because of the COVID-19 pandemic and the Russia-Ukraine war, the Indian economy was "on the right track". Sitharaman is expected to lower the government's fiscal deficit while announcing spending and other measures to keep India as one of the fastest-growing major economies in the world.
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