India bond yields to glide lower as FTSE Russell inclusion opens door to more inflows

Demand for Indian government bonds will rise, maintaining lower yields, following FTSE Russell's decision to include them in its index from September 2025. This follows earlier inclusions by JPMorgan and Bloomberg. Bonds with 5 to 10-year maturities will benefit the most. Foreign investment is expected to increase, diversifying ownership and keeping borrowing costs stable.