(Bloomberg) -- The Reserve Bank of India’s surprise rate pause on Thursday is bad news for the nation’s companies, which are struggling with a prolonged cash squeeze.
Yields on top-rated five-year rupee corporate bonds jumped a combined 25 basis points on Thursday and Friday, the biggest two-day gain in 10 months.
Uncertainty about the central bank’s future policy moves may spur increased volatility and push up borrowing costs further for companies, the last thing they need now.
