What is the debt market?

Sreedevi: Debt market is a financial market where participants can issue new debt, as well as debt instruments are traded. The new issue market is as usual known as primary market & the market where further trade take place like buy and sell debt securities, known as the secondary market. Debt instruments: Are assets that require a fixed payment to the holder, usually along with interest. Examples of debt instruments include bonds (Both Corp or government) The bond is basically a debt instrument through which corporate or govt raise fund from market as borrower with a promise to pay interest. This is the market is vital for economic activity because here most of interest rates are determined. Eg of Debt Instruments: Bond, notes, bills etc. read less