India’s index‑eligible bonds drew the largest foreign inflow in nearly a year after the government rolled out measures to lift overseas purchases and shore up the rupee. Global investors snapped up 44.9 billion rupees of securities on Friday, the most since June 30, 2025, when tax relief on foreign holdings was scrapped and new long‑tenor bonds entered the fully accessible route.

The rupee appreciated 0.9% against the dollar on Friday, reflecting investor confidence in the policy shift. The move follows the addition of new bonds to the index‑eligible pool, a strategy aimed at widening exposure for global funds and reinforcing the currency’s stability amid volatile capital flows for both market participants and policy makers in India today and tomorrow as the financial landscape shifts.

With the inflow, India signals its readiness to deepen its bond market and attract sustainable foreign capital. The influx of $469 million (converted from rupees) underscores the effectiveness of the tax and product changes. Fund managers now face lower entry costs and an expanded index‑eligible offering, potentially reshaping allocation strategies across the region for global investors seeking stable yield sectors in Asia today.