Corporate bond issuances fell as Covid-19 pandemic hit companies

Analysts says it's a learning experience, market expected to do better in 2022

Corporate bond issuances dropped significantly in calendar year 2021 as companies stayed away from fresh capacity expansion in an economy still suffering from the pangs of the pandemic, while interest rates climbed up.

During the calendar year, corporate bond issuances by private companies as well as public sector units amounted to Rs 5.87 trillion compared with Rs 7.87 trillion in 2020. It was Rs 7.04 trillion in 2019, according to data from AK Capital, an arranger of primary bond issuances.

There were 1,466 issuances in the corporate bond space in 2021, compared with 2,522 issuances in 2020 and 2,482 a