Indian bond traders seek government buybacks as yields continue to rise
Indian bond yields are rising despite a recent debt switch. Market participants now urge government buybacks to address supply issues and stabilize the market.
The government of India
IN has completed a bond switch operation today, February 13, 2026, involving 755 billion rupees of near-term paper maturing next year, which was exchanged for long-term notes held by the central bank. Despite the completion of this significant transaction, initial yield gains were surrendered as the 10-year benchmark yield rose to about 6.6878%. This rebound highlights how higher long-term yields and weak investor demand are increasing government borrowing costs and prompting market participants to call for support measures.












