India saw a sharp surge in external commercial borrowings (ECBs) during March, with private sector companies raising a record $11 billion, highest in over six years, according to the Reserve Bank of India data.
Of the total, $8.3 billion was routed through the automatic channel, while $2.7 billion came via the approval route. The jump in ECBs highlights a growing trend among Indian corporates to tap into international credit markets for cost-effective, long-term financing — particularly to support refinancing, capital expansion, and overseas investments.
Major recipients included companies from sectors like steel, oil and gas, semiconductors, and financial services. Key approvals were directed toward refinancing earlier borrowings, working capital requirements, and strategic project financing. The rise in approvals also indicated a deliberate effort by companies to diversify funding sources, and lock in favourable borrowing terms in foreign currencies.
For the full year, ECB approvals rose to $61.8 billion, a significant jump from $49 billion seen in FY24. Financial services companies accounted for nearly half of this total, reflecting rising credit demand and the sector’s growing integration with global capital flows.
Among the top ECB recipients in FY25 were large corporates and financial institutions that raised funds for refinancing, project funding, and overseas investments. Reliance Industries alone secured approvals exceeding $4 billion, spread across multiple tenures and purposes. Others in the top tier included JSW Steel and Power Finance Corporation, reinforcing the scale and diversity of India’s outbound capital strategies.
Disclosure: Moneycontrol is a part of the Network18 group. Network18 is controlled by Independent Media Trust, of which Reliance Industries is the sole beneficiary.
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