India In-Focus — Trade with Russia and Sri Lanka expected to hit $9bn; Bajaj Finance to issue 3-year bonds

0
204

RIYADH: India expects bilateral trade worth up to $9 billion with Russia and Sri Lanka in the next two months after it allowed international trade in rupees, India’s trade secretary said.

The Reserve Bank of India last month allowed importers and exporters to pay in the partially convertible rupee, a move widely seen as making trade with Russia and South Asian neighbors easier instead of relying on dollars.

“The rupee-denominated sales will be a big, big advantage,” BVR Subrahmanyam told reporters late on Tuesday.

He added: “I see in the next two months $8-$9 billion of trade with Russia and Sri Lanka.”

He did not give a breakdown of trade by country.

India’s imports from Russia, mainly crude oil, jumped nearly five times to more than $15 billion between the end of July and Feb. 24 when Russia invaded Ukraine, compared to the previous year, according to a source with direct knowledge of the matter.

But exports fell to $852.22 million from $1.34 billion in the same period, due to the lack of a payment settlement mechanism with sanctioned-hit Russia.

Bajaj Finance to issue 3-year bonds: traders

India’s Bajaj Finance Ltd. plans to raise at least 100 million rupees ($1.26 million) through a sale of bonds maturing in three years, three merchant bankers said on Thursday.

The non-banking finance company has invited bids from bankers and investors for the same on Friday, they said.

The notes are rated AAA by CRISIL and India Ratings and will close for subscription on Monday.

The issue has a greenshoe option to retain an additional 29.90 billion rupees.

Kotak Mahindra Prime to re-issue April 2025 bonds

India’s Kotak Mahindra Prime plans to raise 2.50 billion rupees through reissuance of 6.55 percent April 2025 bonds, three merchant bankers said on Thursday.

The company will offer a yield of 7.33 percent to investors and has invited bids from bankers and investors on Friday, they said.

The bonds are rated AAA by CRISIL, and the issue will close for subscription on Monday.

(With input from Reuters)