FIIs' debt investment capped at $1 billion
Mumbai: The Securities and Exchange Board of India (Sebi) has clarified that the total investment limit by foreign institutional investors (FIIs) in debt in India will be capped at $1 billion. So far on a cumulative basis, net investments by FIIs in domestic debt amounts to Rs 3819.6 crore ($848.8 million). In the current calendar year, the FIIs' net investment in debt has been Rs 1482.6 crore ($329 million).

Last year, foreign institutional investors created a record when they made gross purchases to the tune of $1.03 billion in the bond markets in India. The Indian debt market provides higher yields as opposed to the yields available in the home countries of the FDIs.
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