Canada’s Province of British Columbia has become the first foreign government to issue a masala bonds.
Masala Bonds are rupee-denominated bonds issued to overseas buyers, aimed at investments into India’s infra needs.
It has floated Rs. 500 crore rupee denominated overseas bonds on the London Stock Exchange.
The bond raised $75 million (about Rs. 500 crore) with 6.62 per cent semi-annual yield, securing high-quality investor support from across Europe, Asia and America.
It is a AAA rated bond by the three major rating agencies and will mature on January 9, 2020.
HDFC Ltd had listed the world’s first masala bond by an Indian corporate in July 2016.
