RBI loosens rules for offshore refi but bars Indian banks

The Reserve Bank of India has revised its offshore borrowing rules, making it easier for companies to refinance loans overseas. But at the same time it has placed restrictions on Indian bank participation. The fallout is already being felt, with one Indian lender having to step away from the loan for Reliance Jio, and some bankers expect the loss of liquidity offered by Indian banks to push up pricing, writes Shruti Chaturvedi.