Reserve Bank is also considering further broadening the IRF products by including cash settled IRFs in the two and five year segments.1  1  On December 30, 2011, Reserve Bank of India has permitted cash settled IRF contracts in notional 2 year and 5 year coupon bearing Government of India securities.
BIS central bankers’ speeches  13  Credit enhancement One of the major obstacles in attracting foreign debt capital for infrastructure is the sovereign credit rating ceiling. Domestic investors are also inhibited due to high level of credit risk perception, particularly in the absence of sound bankruptcy framework.