Bid norms for FIIs in infra bonds revised

As per revised guidelines, no single FII shall be allocated more than Rs 2,000 crore of the investment limit against the existing Rs 10,000 crore. Sebi also reduced the minimum bid size to Rs 50 crore from the existing Rs 250 crore. These revised norms are likely to attract a higher number of FIIs into the infrastructure bond segment. Despite the last budget announcement of raising investment limit to $25 billion from $5 billion, there was cold response from FIIs to such bonds.