Govt mulls raising FII limits on debt

The government is mulling a hike in the cap imposed on FII investment in the debt market at a meeting slated for later this month. The limit on FIIs investment in corporate debt was raised to 3 billion dollars in corporate debt from 1.5 billion dollars and 5 billion dollars in government securities from 3.2 billion dollars in June. "The last meeting was inconclusive on the issue," official sources said. A meeting of high-level committee comprising key officials of the Finance Ministry and RBI will be held this month-end.

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