India Inc overseas borrowing increases 65 pc in May

The total overseas loans raised by 35 companies through external commercial borrowings (ECBs) and foreign currencyconvertible bonds moved up from USD 298 million in April to USD 494 million in May, an RBI release in Mumbai on Monday said.

Overseas borrowings by India Inc increased by 65 per cent to USD 494 million in May compared to the previous month.

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The total overseas loans raised by 35 companies through external commercial borrowings (ECBs) and foreign currency
convertible bonds (FCCB) moved up from USD 298 million in April to USD 494 million in May, an RBI release in Mumbai on Monday said.

Of the total overseas borrowings, USD 326 million were raised through automatic route and USD 167 million was mopped
up through approval route.

The ECB data for May showed that most of the companies raised overseas funds for import of capital goods, modernisation, overseas acquisition among other things.

Bhushan Steel raised USD 20 million for rupee expenditure, while Bajaj Hindustan raised the similar amount for foreign
currency convertible bonds buyback.

Suzlon Energy raised over USD 61 million under the approval route for buy back of its FCCB, while Bharat
Petroleum Corp raised USD 25 million in the month.