MASALA BONDS Subject: Economics Context: Of the total borrowings during March 2021, USD 5.35 billion came in through the approval route of the external commercial borrowings (ECB), while the rest of USD 3.88 billion was raked in via the automatic route of raising funds from international markets. No money was raised through the […]

Subject: Economy Context: Overseas borrowing through rupee-denominated bonds (masala bonds), which has been declining over the last few years, witnessed a sudden surge in interest from domestic borrowers. Concept: Masala bond – a form of external commercial borrowing (ECB) – was launched by the government and International Finance Corporation (IFC) in 2014-15 to contain the […]