Krishna Merchant is Asia credit correspondent at IFR. She covers credit, mainly corporate bonds in India, Indonesia and the Philippines, and also the offshore rupee market, or Masala, bonds for India. She has been with IFR since May 2016.
Indian banks and credit funds could be facing heavy losses if the liquidity crisis at the troubled Infrastructure Leasing & Financial Services group rocks confidence in other borrowers, analysts warned last week.
India’s large companies will have to meet at least a quarter of their funding requirement through bonds as of April next year, according to new rules finalised by the market regulator.
Infrastructure and property developers, including Brookfield and Blackstone, are turning to the Indian capital markets to raise money through listed investment trusts, despite rising interest rates and a lacklustre response to earlier listings.