Graphically Speaking

Binge borrowing

Corporate India is borrowing foreign currency in leaps and bounds, and the pile is inching to half of country’s external debt

Published 10 months ago on May 08, 2020 1 minute Read

When Don Corleone promises, he delivers. So does the RBI. But, one is a fictional character and the other is the regulator of the Indian banking system. When both delivered, one became a priceless contribution to global cinema and the other bumped up India’s outstanding external commercial borrowing (ECB) by $29 billion to $223.8 billion in December 2019, which alone constitutes 40% of India’s total external debt.

Banking analyst Hemindra Hazari mentions in his report ‘Unhedged Portion of ECBs: One More Threat to C