India Inc desperate for cover

A glance at the balance sheets of corporate India shows an alarming increase in the levels of borrowings. Perhaps policies were not quite expected to come apart the way they have but the resultant sharp fall in industrial growth has left several business houses up to their necks in debt. One number puts this in perspective: a study by Credit Suisse (CS) shows that the ten groups that have been the top beneficiaries of bank loans, in the past five years, have an average group debt to Ebitda (earnings before interest, tax and depreciation) of a high 7.6 times.

Read Full Story>>