New Delhi, July 10 -- Corporate bond issuances are expected to scale another record in the ongoing fiscal as Indian companies continue to raise funds at cheaper costs from the debt market, when banks are taking long to fully pass on lower policy rates to businesses.

Local companies are expected to raise over Rs.11 trillion from the bond markets in 2025-26 financial year, according to sector experts.That compares with Rs.9.95 trillion raised through public and private debt issues combined in FY25, according to the market regulator's data, implying an estimated annual rise of about 10.5% this fiscal.

"With the faster transmission of recent rate cuts in the debt capital market compared to bank lending rates, corporates have preferred to ra...