Branch2 Intelligence
Companies return to bond market as yields ease, RBI’s move opens up domestic debt markets
Key takeaway
RBI eases ECB norms for PSUs, reducing domestic bond market crowding.
- Step 11st-order: RBI eases ECB norms for PSUs, enabling cheaper offshore fundraising.
- Step 22nd-order: Reduced PSU borrowing in domestic bond market lowers corporate bond yields.
- Step 33rd-order: Lower Indian corporate bond yields reduce financing costs for UK SMEs with Indian operations or INR exposure.
Source: IN:Mint
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