Indian Firms Shift From Bank Loans to Bonds, Equity Funding

Indian companies are changing how they get money.

They're borrowing less from banks and instead getting money by selling bonds or stocks.

This is because bond rates are lower than bank loan rates.

Also, companies are worried about the future, especially due to trade issues with the US.

This shift has slowed down the overall growth in money raised by companies.

However, experts think companies may return to banks as bond yields rise and bank lending rates fall.

The RBI is trying to keep things positive but acknowledges the slowdown.