<h1>RBI Expands Rupee-Denominated Bonds Overseas for Banks, Enhances Corporate Bond Market Liquidity with FPI Access and Repo Trading.</h1> The Reserve Bank of India (RBI) has announced measures to develop the market for rupee-denominated bonds overseas. Banks are now permitted to issue Perpetual Debt Instruments as Additional Tier 1 capital and debt capital instruments as Tier 2 capital through these bonds. Additionally, banks can issue rupee-denominated bonds overseas to finance infrastructure and affordable housing. To enhance liquidity in the corporate bond market, Foreign Portfolio Investors can invest in unlisted corporate bonds, and the Partial Credit Enhancement ceiling by banks has been increased. FPIs can access secondary market trading directly, and brokers can participate in the corporate bond repo market.