Indian Overseas Bank may raise $500 mn next year

MUMBAI: State-run Indian Overseas Bank may look at borrowing $500 million in the overseas market next year to meet dollar demand from Indian companies, its chief M. Narendra told Reuters on Wednesday.

"We may, at an appropriate time, look at medium-term notes for $500 million next year, when the market is right," he said over the telephone. "This is to meet credit growth in international market, corporates who want ECBs."

"There are other markets like Chinese, Japanese where we can also raise money. So, all options can be looked at. Not immediately, but next year," he added.

Last month, India's central bank eased overseas borrowing rules for local corporates and directed that funds raised abroad meant for rupee expenditure in India would have to be brought in immediately, in a move to boost inflow of foreign currency.

Source: EconomicTimes