Indian companies raised $ 1.89 billion from overseas markets last month, 57.5 per cent more than a year ago, the Reserve Bank data showed today. They had, in comparison, borrowed $ 1.20 billion from overseas markets in July last year. The sources of funds raised in July this year included external commercial borrowings (ECBs) and foreign currency convertible bonds (FCCBs). There was no data on credit offtake through rupee denominated bonds (RDBs) during the month as they were banned temporarily by capital markets regulator Sebi. "As rupee-denominated bonds issued by Indian corporates overseas are covered under Combined Corporate Debt Limit (CCDL), issuance of such bonds overseas shall temporarily cease, until the limit utilisation falls back to below 92 per cent," Sebi had said in its order last month. The ban came in less than an year since the RBI started giving data on RDB borrowings from September 2016. The RBI data showed that $ 1.24 billion was raised via the automatic route last month, while the rest of $ 650 million came through approval route. Rural Electrification Corporation took the approval route of ECB to raise $ 450 million and $ 200 million in separate tranches of 10 years and 5 years respectively for the purpose of on-lending. As for the automatic route, Hindustan Petroleum Corporation raised $ 500 million for modernisation of project, while Reliance Utilities and Power garnered $ 300 million for refinancing of earlier ECB. Besides, Idea Cellular raised $ 155.08 million for refinancing earlier ECB, while Export-Import Bank of India borrowed $ 75 million for sub-lending.
