Axis Bank's Gambhir on Indian Bond Market

The video discusses the economic challenges faced due to the pandemic, focusing on the role of the Reserve Bank in supporting the market through fiscal and monetary policies. It analyzes the rupee and bond market trends, highlighting the impact of economic growth on the rupee and capital flows. The video also provides advice for clients in the debt market and examines foreign participation interest.

What is the primary reason for the government's large borrowing program during the pandemic?

• To stabilize the stock market

• To support fiscal and monetary policies

• To increase foreign reserves

• To reduce inflation

How much does the Reserve Bank plan to buy in government bonds to support the market?

• 7 to 8 INR trillion

• 3 to 4 INR trillion

• 1 to 2 INR trillion

• 5 to 6 INR trillion

What has contributed to the recent strength of the rupee?

• Increase in oil prices

• High inflation rates

• Weakness of the dollar against EM currencies

• Decrease in foreign investments

What is the current market condition for raising long-term funding?

• Uncertain due to fluctuating stock prices

• Risky due to high inflation

• Favorable due to low yields and tight spreads

• Unfavorable due to high interest rates

What is the current level of foreign interest in the Indian debt market?

• Low due to uncertainty in fiscal numbers

• High due to stable fiscal policies

• Very high due to attractive yields

• Moderate with some concerns about inflation