Indian firms' July foreign borrowings down 44% at $1.2 bn

Overseas borrowings by Indian companies in July this year fell by 44 per cent to $1.2 billion as against $2.14 billion in the same month last year, Reserve Bank of India (RBI) data here showed on Friday.

The central bank said that while $1.02 billion was raised through the automatic route, the remaining $183.7 million came through the approval route.

Among major Indian borrowers using the automatic route were Housing Development Finance Corporation ($446.38 million) for "on-lending/sub-lending", Glenmark Pharmaceuticals ($200 million) for overseas acquisition and Adani Transmission ($74.40) million for refinancing of rupee loans.

Under the same automatic route category, Birla Corporation raised $40 million for refinancing of earlier external commercial borrowings, Siemens Financial Services raised $37.20 million for on-lending and Continental Warehousing Corp. in Nhava Sheva raised close to $35 million for refinancing of rupee loans.

Under the approval route, Tikona Digital Networks raised $171 million for import of capital goods, Vijayawada Tollway raised $11.07 million for road related works and Ionbond Coatings raised $1.63 million for "general corporate purpose".

--IANS

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