BT Explainer: Tax free G Secs for FIIs: Can the move help bridge India's ₹4.76 lakh cr funding gap?
Published on: June 6, 2026, 12:42 p.m. | Source: Business Today
The Centre removed taxes on interest income and capital gains from government securities for foreign investors, marking one of India's biggest bond-market reforms in years. The move is aimed at attracting fresh overseas capital, supporting the rupee, and helping bridge an estimated $40-50 billion funding gap amid global economic and geopolitical challenges.
