The Reserve Bank of India’s (RBI) proposal of lifting restrictions on loans against corporate debt has seen a new wave of interest among HNIs, family offices, corporate treasuries and institutions. Players see the move to improve depth and breath in the corporate bond market. “As more bonds are pledged and traded, market depth, turnover, and bid-ask efficiency are likely to improve, driving greater liquidity across the fixed-income spectrum,” said Vishal Goenka, co-founder, IndiaBonds.

He stated that the ability to raise credit against bonds will attract investors, including HNIs and institutions that seek flexibility without exiting their existing investments. “The immediate beneficiaries will be AAA, AA+ and AA rated bonds due to their higher credit quality and they require minima

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