India Inc’s Borrowing Reduced 81% To $1.02B

From $5.40B in June’19 to $1.02B, India Inc’s borrowings from foreign market slipped over 81% as of June’20, according to data by Reserve Bank of India (RBI)

Of the total fundraised by the Indian companies, $851.81M was borrowed through the automatic route, while the rest of the #funds came in via the approval route for June’20

Some companies who still led the show by overseas #investment include:

Rural electrification Corporation Limited raised $170M to promote rural power projects in #India

TVS Credit Services Ltd. was amongst a few who tapped the automatic route of ECB by raising $100M for on-lending

Johnson Matthey India & ibibo Group raised $132.10M & $99.04M respectively as working capital loan

Adani Wilmar Limited raised $45M for modernization purposes of its food manufacturing in India

In the June quarter, FMCG majors like Unilever & Britannia Industries Limited reported a sharp cut in advertisement spending (down by 397 & 634 basis points YoY, respectively.)

India Inc. as a whole has kept a tight leash on its #costs this fiscal first quarter (FY21, Q1) leading to a decline in expenses.
Aggregate expense slipped 14.3% from a year earlier, as per Capitaline

Do you think, there is a green signal for India Inc companies going forward in FY’21?

By: Radhika