The International Finance Corporation (IFC), a member of the World Bank Group, on Wednesday issued a Rs 1,000-crore (around $160 million) Global Indian Rupee Bond to strengthen the country’s capital markets. The bond is IFC’s first rupee offering. It is the first bond issued under IFC’s $1-billion offshore rupee bond programme, said IFC. This will attract greater foreign investment at a time of renewed economic uncertainty across the world, IFC added.The three-year benchmark bond is offered and settled in US dollars. The initial subscription and the principal and coupon payments are in US dollars, with all amounts tied to the US dollar-rupee exchange rate. IFC will convert bond proceeds from dollars into rupees on the domestic spot exchange market, and use the rupees to finance private sector investment in the country.

Source :