Indian bond yields jump after govt announces additional borrowing
India will borrow an additional $7.79 billion this fiscal year, a higher-than-expected figure
The benchmark 10-year bond yield was up 9 basis points. Image source: Reuters
Written By: Reuters
Updated: Thu, Dec 28, 2017 10:05 am
Indian bond yields jumped more than 10 basis points in early trade on Thursday, a day after the government announced additional borrowing for the current fiscal year to March 2018.
India will borrow an additional 500 billion rupees ($7.79 billion) this fiscal year, a higher-than-expected figure that could lead to it breaching the fiscal deficit target for the first time in four years.
The benchmark 10-year bond yield was up 9 basis points at 7.31 percent by 0340 GMT, after earlier rising as much as 11 basis points.