NEW DELHI, Jan 22 (Reuters) - India will raise by $5 billion
each the caps on foreign institutional investors holding
government and corporate bonds, the finance minister said on
Tuesday and forecast growth of 6.5-7 percent in the next fiscal
year, Citi said in a note.
Foreign investors will be allowed to hold up to $15 billion
of government bonds and $25 billion in corporate bonds, the
minister was reported to have said during a meeting with
investors in Hong Kong.
A one-year lock in period on holding infrastructure bonds
will be eliminated, he said.
The meeting was held in the lead up to India's 2013/14
budget on Feb. 28 where new investment and tax guidelines are
likely to be announced.
(Reporting By Frank Jack Daniel)