Internal Brown Bag seminar
14:00 - 16:00
Dr Udichibarna Bose
Lectures, talks and seminars
Essex Finance Centre
Essex Business School
Essex Finance Centre is delighted to welcome Dr Udichibarna Bose to our weekly research seminar series to present her paper, titled 'Does Easing Controls on External Commercial Borrowings boost Exporting Intensity of Indian Firms?'.
Using a rich dataset of 11,612 Indian firms over the period 1988-2014 and a difference-in-differences approach, we analyse the impact of the export-oriented policy initiative, namely foreign exchange management act (FEMA) on firms’ exporting activity. The results show that firms who benefited from this initiative have higher export intensity compared to matched exporting firms with only domestic sources of financing. Further, our results suggest that this effect is particularly stronger for firms that receive extra incentives in the form of government grants and subsidies including export incentives and duty drawbacks. Finally, we find that when financially constrained firms and those firms operating in vulnerable industries gain access to foreign financing, they are able to increase their export participation. Overall, easing controls on trade financing is more responsive for those firms that are smaller in size, have higher output volatility, higher import intensity, and operate in industries with greater dependence on external finance and higher inventory-to-sales ratio.
Dr Udichibarna Bose is a lecturer in finance at the Essex Business School. She finished PhD in Economics from the University of Glasgow in 2016. Her research interests concern corporate finance, international finance and emerging markets finance. She has recently published in Journal of Corporate Finance, and Journal of International Financial Markets, Institutions and Money.