NITI Aayog outlines plan to strengthen India's corporate bond market

• NITI Aayog unveiled a report with a roadmap to deepen India's corporate bond market, proposing short-term and long-term strategies.
• The report aims to substantially increase India's bond market size (currently 16% of GDP) by 2030 and 2047.
• Key challenges identified include a shallow secondary market, concentrated investor base, regulatory hurdles, and weak debt recovery mechanisms.
• Proposed reforms include strengthening market infrastructure, broadening the investor base, simplifying regulations, innovating new instruments, and improving debt recovery processes.

Why It Matters: Strengthening India's corporate bond market is crucial for economic growth.