BUSINESS

JPMorgan adds India to its GBI-EM index

By Rishabh Raj

1

India joins GBI-EM index

JPMorgan has added India to its widely tracked Government Bond Index-Emerging Markets (GBI-EM) index, benchmarked by about $236 billion in global funds.

2

Higher inflows

Inflows of around $24 billion expected by May 2025, with possible additional inflows of $15-20 billion if India is included in the Bloomberg Global Aggregate Bonds Index.

3

Huge inclusion

A total of 23 Indian Government Bonds (IGBs) worth a staggering $330 billion will be eligible for inclusion.

4

India's GBI-EM weightage

India's weightage could reach 10% in the GBI-EM Global Diversified index and about 8.7% in the GBI-EM Global index.

5

Rupee boost expected

The inclusion is seen as a substantial positive for the rupee, although analysts caution that the full impact of these inflows may take some months to materialize.

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