Can some one explain this part ‘ the difference between…. will be paid by the company’.
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As per interest rate parity or inflation theory(I would use interest rate and inflation interchangeably because there effect on currency remains the same) , if interest rate of one country is higher than other country, then it’s currency would fall. So if reliance borrows in Foreign currency, so it will borrow at lower interest rate that is prevailing in India, but when it will make repayment in foreign currency, it will pay more because of decrease in value of INR over the period due to higher interest rates.
As per interest rate parity or inflation theory(I would use interest rate and inflation interchangeably because there effect on currency remains the same) , if interest rate of one country is higher than other country, then it’s currency would fall. So if reliance borrows in Foreign currency, so it will borrow at lower interest rate that is prevailing in India, but when it will make repayment in foreign currency, it will pay more because of decrease in value of INR over the period due to higher interest rates.