Govt allows foreign retail investors to buy debt

New Delhi: The government has allowed foreign retail investors to directly buy debt in the latest move to boost capital inflows and help support a shaky rupee.

Qualified foreign retail investors can invest in Indian corporate bonds as well as debt schemes for up to $1 billion, in addition to the existing $20 billion limit, the head of capital markets division in the finance ministry said.

Thomas Mathew also said he expects it would take about 6 to 18 months for the new capital flows into Indian debt to pick up.