# India’s green bonds draw steady demand at four-basis-point premium

2026-08-14T21:41:17+00:00 | Business & Economy | Indian Opinion Desk

Corroboration: 2 independent outlets

India sold Rs 5,000 crore of 30-year sovereign green bonds at a four-basis-point greenium on Friday, taking the average premium in the fiscal half-year to its highest since such sales began in early 2023. The greenium means investors accept a lower yield for bonds funding sustainable projects. India’s outstanding sovereign green bonds now total Rs 87,700 crore, with 30-year notes accounting for more than Rs 50,000 crore. The Hindu reports that insurers are driving demand because green bonds qualify under the infrastructure category for asset allocation and regulatory purposes. Market participants said the government could raise supply in the second half of FY27, especially through longer-term bonds. Separately, BusinessLine reported that the benchmark 2036 bond yield stood at 6.7511% before a Rs 32,000-crore auction.

## Coverage

- thehindu.com <https://www.thehindu.com/business/Industry/indias-green-bonds-find-footing-as-stable-greenium-underscores-investor-appetite/article71347030.ece>
- thehindubusinessline.com <https://www.thehindubusinessline.com/markets/indian-government-bonds-hold-firm-as-investors-eye-debt-auction-demand/article71344106.ece>

Tags: Insurance Regulatory and Development Authority, Reserve Bank of India, union budget
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