It's back to the drawing board as commercial paper market sees hiccups

Strict enforcement on end-use of proceeds and risk aversion will raise barriers for commercial papers

It’s unlikely that anybody is going to get an easy pass into the commercial paper (CP) market going ahead. Not many will go on record to tell you what class or kind of issuers are going to be hit, but it will involve more than the usual suspects: non-banking financial companies (NBFCs) and realty firms. And this is despite the Reserve Bank of India (RBI) offering a lifeline to ease liquidity concerns last fortnight. So, what’s in store?

Mint Road is to insist that its CP regulations issued on February 1, 2017 — but papered over in the din that’s