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Russian invasion of Ukraine: Indian firms put dollar bond plans on hold

$6 bn raised so far in 2022; next few months will be quiet, say market participants

Dollar bonds
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Abhijit LeleDev Chatterjee Mumbai
With the international markets facing uncertainty after Russia invaded Ukraine and Western nations retaliated with sanctions, Indian companies are putting their international fundraising plans on hold as they wait for the markets to recover.

Bankers said apart from the geopolitical crisis, international rates are hardening in anticipation of interest rate hikes by the US Federal Reserve to control rising prices in the US.

The Ukraine situation has implications for the market. In such a situation, international investors try to shift to safe haven assets by exiting from emerging markets. This reduces liquidity in those markets to some extent,