New Delhi, June 19 -- External commercial borrowing (ECB) inflows are expected to recover in FY27, supported by RBI measures to attract foreign capital, according to a Bank of Baroda (BoB) report.

External commercial borrowings (ECBs) serve as an additional source of financing for domestic companies. Over the years, ECB trends have been influenced by a number of factors such as the availability of domestic funding, demand for capital, global interest rates, and movements in the exchange rate.

According to the BoB report, India's ECB registrations (including FCCBs) declined to USD 42.9 billion in FY26 from USD 61.2 billion in FY25 due to sharp Rupee depreciation, which further led to higher hedging costs and narrowing rate differentials ...