8 months ago
India's Corporate Bond Market to Exceed Rs 100 Trillion by 2030
India's corporate bond market has been growing fast.
It was Rs 17.5 trillion in 2015 and is now Rs 53.6 trillion.
Experts say it could reach Rs 100–120 trillion by 2030 if the government makes some important changes.
These changes include better rules, new technology, and more ways to manage risks.
Right now, the market is about 15–16% of India's GDP, which is good but still less than countries like South Korea and China.
Making these changes will help businesses grow and support India's long-term goals.
India's corporate bond market has grown from Rs 17.5 trillion in FY2015 to Rs 53.6 trillion in FY2025, with an annual growth rate of 12%.
NITI Aayog projects the market could exceed Rs 100–120 trillion by 2030 with structural reforms and institutional capacity-building.
The market currently accounts for 15–16% of India's GDP, below levels in countries like South Korea, Malaysia, and China.
Key reforms needed include market infrastructure, risk management tools, investor diversification, and credit enhancement mechanisms.
Strengthening the corporate bond market is seen as crucial for channeling capital towards productive sectors and supporting long-term growth.
- Who
- NITI Aayog, BVR Subrahmanyam (NITI Aayog CEO)
- What
- India's corporate bond market growth and potential
- Where
- India
- When
- Projected to exceed Rs 100–120 trillion by 2030
- Why
- To channel domestic and global capital towards productive sectors and support long-term growth
Key facts
- Current Market Size (FY2025)
- Rs 53.6 trillion
- Projected Market Size (2030)
- Rs 100–120 trillion
- Annual Growth Rate (Past Decade)
- 12%
- Current Market Share of GDP
- 15–16%
- Report Author
- NITI Aayog
- Key Goal
- Viksit Bharat 2047
- Required Reforms
- Market infrastructure, risk management, investor diversification, credit enhancement
- Comparable Countries
- South Korea, Malaysia, China
Quotes
Gita Gopinath
Professor at Harvard University
“That’s 18 per cent of deaths in India. From an international investor’s perspective, if you’re thinking of coming in and setting up operations in India but have to live in an environment that affects your health, it becomes a deterrent. Addressing this on a war footing is critical. This has to be a top mission for India.”
rediff.com
“The real challenge for India is raising per capita incomes and maintaining the pace of reforms to achieve the Viksit Bharat goal by 2047.”
rediff.com
Ashwini Vaishnaw
Union Minister for Railways, Information & Broadcasting, Electronics & Information Technology
“All this, combined with the technology base we have put in place, allows us to clearly say India will grow at 6-8 per cent real growth, with moderate inflation of 2-4 per cent, and nominal growth of 10-13 per cent, with a 95 per cent confidence interval over the next five years.”
rediff.com
“What’s really a matter of concern in the government’s mind is the huge global debt in the rich world and how that will unravel. We saw a run on bonds in Japan on Tuesday. If it happens on a large scale, what will be the impact on our country is a matter of concern.”
rediff.com
Sunil Bharti Mittal
Chairman of Bharti Enterprises
“The US was a massive market for China, which it used over 20-30 years to build factories, move into deeptech, and generate enormous wealth to support its economy. That opportunity does not exist for India. We will have to chart our own path. Thankfully, we have a large domestic market.”
rediff.com
Juvencio Maeztu
Chief Executive Officer and President of Ingka Group
“We welcome the new legislation on quality control orders. Raising quality standards will help India export globally. Implementation, however, needs to support supply as well.”
rediff.com
