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Derivative effect: IndusInd's borrowing cost increases

Business Standard

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March 19, 2025

IndusInd Bank's borrowing costs have increased by 15 basis points (bps) in a week, amid derivatives losses and looming credit assessment downgrade fears.

- ANJALI KUMARI

On Monday, the lender raised ₹11,000 crore by issuing certificates of deposit (CDs) across a range of maturities, with coupon rates varying between 7.80 per cent and 7.90 per cent, which includes ₹2,000 crore via 12-month CD at 7.9 per cent.

This marks a 15 bps increase from the rates the bank offered on its CDs in the previous week, according to data by Clearing Corporation of India Limited (CCIL). On March 10, the bank raised ₹1,890 crore by issuing 12-month CDs at a coupon rate of 7.75 per cent.

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