Companies with high credit ratings shifting to bond market as bank loans become dearer
In the current economic climate, AAA-rated corporations are opting to secure financing via the bond market, finding it more cost-effective than traditional bank loans. The recent interest rate hikes by the Reserve Bank of India have further enhanced the appeal of bonds. Companies like REC and SIDBI have successfully tapped into this market.
Key Takeaways
- In the current economic climate, AAA-rated corporations are opting to secure financing via the bond market, finding it more cost-effective than traditional bank loans.
- The recent interest rate hikes by the Reserve Bank of India have further enhanced the appeal of bonds.
- Companies like REC and SIDBI have successfully tapped into this market.
In the current economic climate, AAA-rated corporations are opting to secure financing via the bond market, finding it more cost-effective than traditional bank loans. The recent interest rate hikes by the Reserve Bank of India have further enhanced the appeal of bonds. Companies like REC and SIDBI have successfully tapped into this market.
Original Publisher Attribution
This summary was curated from Economic Times.