Until 2007, information on Indian corporate bond market turnover was incomplete and largely anecdotal. In 2007, however, the Securities and Exchange Board of India (SEBI) launched initiatives to ensure more comprehensive reporting of the over-the-counter (OTC) bond market (Figure 8). Current volumes are running at low levels—around 140 transactions amounting to about USD80 million per day. But corporate bond markets worldwide are typically illiquid, 5 so it may be overly optimistic to expect India to develop a uniquely liquid corporate bond market. Nonetheless, a more liquid market should eventually contribute to lower costs of capital for issuers. India’s corporate turnover ratio.
