S&P's credit rating upgrade sparks $2 billion fundraising frenzy
India just got its first credit rating upgrade in 18 years—S&P bumped the country up to BBB recently.
Now, big names like Credila, Muthoot Finance, and Hero FinCorp are jumping at the chance to raise over $2 billion from international investors.
The move highlights India's strong economic growth and better fiscal discipline.
Major players in the game
Sammaan Capital recently issued $300 million in three-year bonds at 8.95%.
Muthoot Finance is tapping global markets for $600 million with four-and-a-half-year bonds at 6.375%.
Credila is targeting $600 million in loans priced just above SOFR rates, while Hero FinCorp has a $300 million bond plan lined up too.
Investor confidence is up, with companies and analysts citing resilient growth and fiscal consolidation.
Challenges and opportunities ahead
The government kept deficits under control—big pluses for global investors.
There are some bumps though: US tariffs on Indian exports have jumped to 50%, and tax cuts have shaken things up a bit.
Still, hopes for a US Fed rate cut this September could keep the fundraising momentum going.