Funds raised from private debt issues drop to Rs 2.71 lakh cr

Tags: Debt, Funds, News
Indian companies mopped up Rs 2.71 lakh crore through private issue of debt securities in 2013-14, a drop from the preceding year.

"On a year-on-year basis, last fiscal year's raising of Rs 2.71 lakh crore was a decrease of 23 per cent from Rs 3.52 lakh crore mobilised in 2012-13," according to a report by Prime Database.

Market analysts say fund raising through private debt placement -- where firms issue debt securities or bonds to institutional investors to raise capital -- has been subdued lately due to the good performance of equities.

The biggest mobilisation was by financial institutions and banks at Rs 1.45 lakh crore in 2013-14, a plunge of 21 per cent from the preceding year.

Mobilisation by private sector firms fell 21 per cent to Rs 89,603 crore, while funds raised by public sector companies declined to Rs 31,248 crore from Rs 39,551 crore.

Mobilisation by state-run financial institutions went down to Rs 1,482 crore from Rs 5,394 crore previously, while funds raised by state-level undertakings nosedived 57 per cent to Rs 3,686 crore.

"Government organisations and financial institutions put together mobilised 53 per cent of the total amount, higher than 49 per cent in 2012-13," according to the report.

The highest mobilisation through private debt placements was by Power Finance Corp (Rs 24,698 crore) followed by HDFC (Rs 24,269 crore), Rural Electrification Corp (Rs 24,253 crore), LIC Housing Finance (Rs 20,850 crore) and Exim Bank (Rs 10,461 crore).


  • India’s economic recovery has to be consumption, and not investment, led

    It is well accepted that falling global commodity prices, especially oil, have helped the Indian economy regain lustre in the past year or so.


Stay informed on our latest news!


Sarthak Raychaudhuri

vice-president, HR, Asia South Whirlpool of India

GV Nageswara Rao

MD & CEO, IDBI Federal Life

Timothy Moe

Goldman Sachs


Amita Sharma

Smart cities for the smart citizens

The 21st century has been spoken of as the urban ...

Purnendu Ghosh

Too shy people love themselves too much

We are essentially shy people. Our extent of shyness, however, ...

Shona Adhikari

When nature and naturism have a date

DAG Modern has announced its forthcoming exhibition The Naked and ...


William D. Green

Chairman & CEO, Accenture