India had lifted foreign investment restrictions on those government securities by 2020.
Global index provider FTSE Russell said India will remain on the watch list for inclusion in the FTSE Emerging Markets Government Bond Index (EMGBI), raising the market’s hopes that FTSE will announce its entry into the index.
India also remains on the waiting list for a potential upgrade to market access level 1, the index provider said Thursday, pointing to improved easy access from overseas to local markets.
“FTSE Russell continues to engage with its index users and Indian market authorities on ongoing market structure reforms, with a focus on securities available through the Fully Accessible Route channel,” it said in its annual country rating review.
India had lifted foreign investment restrictions on those government securities in 2020 as part of an effort to access global bond indices, but its stance on other issues, including capital gains taxes and local settlement, has hindered their inclusion.
Reuters reported this week that India’s entry into JPMorgan’s influential emerging-markets bond index will be pushed back next year due to a number of issues New Delhi must address.
(This story was not edited by DailyExpertNews staff and was generated automatically from a syndicated feed.)