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Economics3h 18m ago

Indian companies are raising more than 310 billion rupees ($3.24 billion) through up to five-year bonds this week after the central bank's measures to support the rupee triggered a sharp fall in borrowing costs.

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MUMBAI, India

Who
Indian companies, non-banking financial firms, Reserve Bank of India, merchant bankers, Ajay Marwaha (Nuvama), Puneet Pal (PGIM India Asset Management), REC, NABARD, Bajaj Finance, Muthoot Finance, Bajaj Housing Finance, L&T Finance
What
Indian companies are raising more than 310 billion rupees ($3.24 billion) through up to five-year bonds this week after the central bank's measures to support the rupee triggered a sharp fall in borrowing costs.
When
Thu, 11 Jun 2026 11:05:24 GMT · 3h 18m ago
Where
MUMBAI, India ·
Why
The Reserve Bank of India announced measures aimed at drawing dollars into the country, including raising subsidised deposits and incentivising banks and state-run companies to raise funds overseas, which pushed corporate borrowing costs lower by 40-45 basis points.
The Frontline Impact

How this affects you

This rush to raise short-term debt by Indian companies, spurred by the central bank's actions, demonstrates a significant shift in corporate financing strategies and could lead to a rally in local bonds under five years. The lowered borrowing costs provide a more attractive investment opportunity for investors with longer investment horizons.

Story chain

2 events in this thread
  1. Economics3h 17m ago
    The Indian rupee slipped against the U.S. dollar on Thursday, negating earlier improvements that were supported by measures from the central bank.
    Open article
  2. Currently Reading3h 18m ago
    Indian companies are raising more than 310 billion rupees ($3.24 billion) through up to five-year bonds this week after the central bank's measures to support the rupee triggered a sharp fall in borrowing costs.

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