000			01651pab a2200169 454500
008			180718b2002 xxu||||| |||| 00| 0 eng d
100			_aThorat, Usha
245			_aDeveloping bond markets to diversify long-term development finance: country study of India
260			_c2002
300			_ap.45-63.
362			_aJun
520			_aThe pattern of economic development adopted by India was essentially based on centralized planning with a predominant role given to the public sector. Public sector banks and financial institutions, which accounted for nearly 75 to 80 per cent of financial intermediation, contributed to the development process in the public sector by way of captive investments in government securities and lending to public sector entities. Rates of interest on government debt were administered and the rate of interest on central bank financing was hugely concessional. Exposure to external capital flows was limited. In such a milieu, there was hardly any development of the debt market. To move away from administered interest rates and reducing the reliance of government on high statutory pre-emption and its monetization of the budget deficit were the focus of reforms in the early 1990s. Against this background in section I, the current status of the debt market is described in section II. Section III contains an assessment of the various issues regarding development of debt markets in India while section IV concludes by analysing what more needs to be done. - Reproduced.
650			_aFinancial markets - India
650			_aFinancial markets
773			_aAsia-Pacific Development Journal
909			_a53392
999			_c53392 _d53392