Press Releases

About Rs 40,000-50,000 crore of additional corporate bond issuances are likely over the next five years following the Securities and Exchange Board of India’s (SEBI) move to shift a quarter of the incremental annual – and long-term – borrowings by large companies away from banks.

The government’s move to merge two better-performing public sector banks (PSBs) – Bank of Baroda and Vijaya Bank – with a weak one – Dena Bank – is a good strategy to ensure stability of both, operations and the credit profile of the consolidated entity.

Housing finance companies (HFCs) and non-banking finance companies (NBFCs), which have cruised on lower borrowing costs and easy access to finance in the recent years, are set for some hiccups as the interest rate cycle reverses course.

Operating margins of print media companies could decline by more than 400 basis points this fiscal due to a rise in the cost of newsprint, which accounts for 35-45% of their total cost.

Securitisation transactions doubled to Rs 31,500 crore on-year in the first quarter (Q1FY19) as deals backed by loan receivables that do not qualify for priority sector (non-PSL) rocketed (see Chart 1 in annexure) following clarity on the applicability of Goods and Services Tax (GST).