India Beating China on Growth Cuts Loan Costs to Least Since ’08
- Offshore syndicated loan volumes have climbed 7% this year
- Foreign-currency loans are outstripping offshore bond issuance
This article is for subscribers only.
Indian companies have raised 7 percent more through international syndicated loans this year, amid a turbulent market for global financing, as bankers showed confidence in the world’s fastest-growing major economy.
State-run oil company ONGC Videsh Ltd. and Tata Steel Ltd. have led $11.5 billion of loan fundraising this year by Indian firms, more than four times as much as the $2.4 billion in offshore bond offerings, data compiled by Bloomberg show. Lenders are seeking the lowest premium over benchmark rates to lend to Indian borrowers since 2008 and are charging them less than Chinese counterparts.