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Banks put SMEs under lens for forex exposure

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Abhijit LeleSidhartha Mumbai
Last Updated : Jan 29 2013 | 12:47 AM IST

With little clarity on the list of companies that have mark-to-market losses on derivatives transactions, banks are now asking their corporate banking departments to scan the books of borrowers and also seek details of their foreign exchange exposure.

A senior banker said the main focus of the exercise was on small and medium enterprises (SMEs), which either raised funds overseas or had clients abroad to whom goods were shipped in the last three to four years when complex derivatives deals entered the Indian landscape.

Within this pie, banks are segregating companies with turnover of Rs 30-40 crore to Rs 100 crore and those which are above this threshold.

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First Published: Apr 23 2008 | 12:00 AM IST

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