Foreign investors have exhausted 82.47 percent of the available limit of USD 20 billion in government bonds, according to data published by National Securities Depository Ltd on Thursday.
The surge in utilisation has triggered expectations of a further increase in the cap on foreign investment in government bonds.
Currently, 820.91 billion rupees worth of government bonds have been purchased and only Rs 174.55 billion remain under the USD 20 billion limit, according to the data.
The government had raised the foreign institutional investment (FII) limit in government bonds by USD 5 billion to a total of USD 30 billion last year.
The government debt limit is allocated under two heads - USD 20 billion for all FIIs and USD 10 billion for investors like sovereign wealth funds, pension funds, insurance funds and foreign central banks.
