Archive · 25 Dec 2025
India Inc Leverages Corporate Bond Repos
Indian companies are borrowing more money through a special market called corporate bond repos.
This helps them get short-term money quickly and at a lower cost.
They are using this money to invest in other bonds that give them higher returns.
The amount they are borrowing has increased a lot compared to the first half of the year.
Some companies want the rules to be changed so that more companies can join this market.
The total amount of money borrowed in this market has grown a lot in the past year.
Indian corporations are increasingly using corporate bond repos for short-term funding.
Average borrowing in the second half of 2025 was Rs 12,196.57 crore, up from Rs 3,022.83 crore in the first half.
Corporate share in total volumes rose to 19.2% in the second half of 2025, up from 8.3% in the first half.
Corporates are attracted by the low-cost funding at 15-20 basis points above the G-Sec repo market.
There are discussions to lower the net worth threshold to allow broader participation in the corporate bond repo market.
- Who
- Indian corporations
- What
- Increased borrowing through corporate bond repos
- When
- Second half of 2025
- Where
- India
- Why
- To meet short-term funding requirements and diversify funding sources
- Average borrowing (H2 2025)
- Rs 12,196.57 crore
- Average borrowing (H1 2025)
- Rs 3,022.83 crore
- Corporate share in total volumes (H2 2025)
- 19.2%
- Corporate share in total volumes (H1 2025)
- 8.3%
- Cost advantage over G-Sec repo market
- 15-20 basis points
- Current net worth threshold for participation
- Rs 5,000 crore
- Total volume on ARCL tri-party repo (November 2025)
- Rs 67,732.50 crore
- Total volume on ARCL tri-party repo (October 2025)
- Rs 70,449.90 crore
- Total volume on ARCL tri-party repo (September 2025)
- Rs 62,903.15 crore
