Non-banking enterprises turn to debt market for funds

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Non-banking enterprises turn to debt market for funds

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Equity issuances during 2020-21 amounted to Rs.1.7 lakh cr, 23.7 per cent higher than their year-ago level of Rs1.4 lakh cr.

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Bulk of the funds mobilisation through primary capital market in 2020-21 happened through debt instruments. Issuances of debentures peaked at Rs 8.6 lakh cr during the year.

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Large companies reduced their exposure to scheduled commercial bank (SCB) credit by Rs 19,600 cr during 2020-21, as per the data released by the Reserve Bank of India (RBI). 

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Enterprises cut their exposure to external commercial borrowings (ECBs) in 2020-21, according to the data released by the RBI. They mobilised Rs 2.6 lakh cr through ECBs in 2020-21, which was 30.2 per cent lower than preceding year.

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Net foreign direct investment (FDI) inflows to India increased by 4.7 per cent to Rs. 3.2 lakh cr in 2020-21 from Rs 3 lakh cr in 2019-20. Shivani Sharma, Pragati Srivastava