Jan 13 (Reuters) - Asian bonds received foreign inflows for the seventh consecutive month in December, bolstered by higher global liquidity and optimism over approvals for multiple coronavirus vaccines.
Asian bonds saw a combined total inflow of $984 million last month, data from regional central banks and bond market associations in Indonesia, Malaysia, Thailand, South Korea and India showed.
In December, Malaysian bonds attracted inflow of $884 million, the highest in the region, followed by India and Indonesia which saw inflows of $554 million and $242 million, respectively.
On the other hand, Thailand and South Korean bonds faced outflows worth $517 million and $179 million, respectively.
For the entire year of 2020, Asian bonds received a net inflow of $4.53 billion, mainly driven by strong purchases by foreigners in South Korean bonds.
“Asia’s favourable growth outlook will continue to be a key driver of inflows to the region this year, especially with global monetary and fiscal policies remaining very accommodative for some time,” said Khoon Goh, head of Asia Research at ANZ in Singapore.
Reporting By Patturaja Murugaboopathy and Gaurav Dogra; Editing by Krishna Chandra Eluri
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