RT Journal Article SR Electronic T1 Indian Securitization Market: A Primer JF The Journal of Structured Finance FD Institutional Investor Journals SP 23 OP 31 DO 10.3905/jsf.2017.23.1.023 VO 23 IS 1 A1 Vinod Kothari A1 Abhirup Ghosh YR 2017 UL https://pm-research.com/content/23/1/23.abstract AB Securitization started in India in the early 1990s and grew slowly but steadily, producing annual issuance volumes in the range of USD 3 billion to USD 6 billion in recent years. Regulatory and taxation issues have sometimes created obstacles to the market’s growth, but the market now appears to have resolved those challenges. The market includes two forms of transaction structures: direct assignments and pass-through certificates. Direct assignments resemble whole loan trades in other jurisdictions, while pass-through certificates include the familiar feature of a special-purpose vehicle that holds a deal’s assets and serves as the issuer of the deal’s securities. Policies by the Reserve Bank of India require certain lenders to meet lending volume targets in designated “priority sectors.” Those requirements have encouraged direct assignment transactions over the past several years, but now the market is likely to shift back to greater use of the pass-through structure.TOPICS: Fixed income and structured finance, emerging