India’s benchmark equity index fell the most in eight months as surging oil prices added to the rupee’s weakness, prompting foreign investors to sell a day ahead of an expected increase in interest rates by the central bank, Bloomberg News reported. The S&P BSE Sensex declined 2.2 percent to 35,169.16 in Mumbai, with Reliance Industries Ltd. and HDFC Bank Ltd. the biggest drags. All 19 sector sub-indexes compiled by BSE Ltd. retreated, with a measure of energy companies dropping the most. The benchmark gauge earlier fell as much as 2.7 percent. ICICI Bank Ltd.

A crisis at one of India’s biggest infrastructure financiers is the latest example of how the end of an easy money era is causing strain in the world’s fastest-growing economy, Bloomberg News reported. Rising borrowing costs are putting pressure on lenders like Infrastructure Leasing & Financial Services Ltd. -- whose recent debt defaults rocked financial markets in India and sparked fears of a contagion -- as well as on debt-focused mutual funds that are liquidating holdings.

The global financial crisis left lasting scars on the world economy, including slower growth, higher government debt and even lower fertility rates, the International Monetary Fund said. A decade after Lehman Brothers filed for bankruptcy in 2008, output in more than 60 percent of the world’s economies remains below where it would have been if the crisis hadn’t occurred, the fund said in a report Wednesday. The drop was steepest in the 24 countries that experienced financial crises, the Fund said in an analytical chapter accompanying its latest World Economic Outlook, Bloomberg News reported.

On track for their first annual drop since 2015, emerging Asia’s sovereign bonds look set to call time on a two-year binge fueled by a tide of cheap money, Bloomberg News reported. Investors start the fourth quarter on the defensive, thanks to soaring oil prices, a raging U.S.-China trade war and a stronger dollar. Indian and Indonesian debt will be the most vulnerable as risk sentiment remains fragile, even as policy makers step up efforts to contain the weakness, according to fund managers surveyed by Bloomberg.

Who bought 10.9 billion liras ($1.8 billion) of Turkish state banks’ subordinated debt in hurried sales last week? That’s the question that’s been dominating talk among local economists and investors, with speculation focusing on whether assets from the nation’s unemployment fund were deployed to boost the lenders’ capital buffers. The banks haven’t provided many details, saying the sales were private, Bloomberg News reported. State-controlled Turkiye Vakiflar Bankasi TAO sold 4.99 billion liras of Tier-1 notes with a fixed-rate coupon payment on a semi-annual basis.

India’s shock seizure of a troubled shadow bank on Monday means contagion’s off the table. It doesn’t mean the saga’s over, Bloomberg News reported. That’s the verdict of strategists and investors after Prime Minister Narendra Modi’s government took control of Infrastructure Leasing & Financial Services Ltd., promising to end the group’s string of defaults. But the giant IL&FS group still owns long-term infrastructure financed with short-term funding, and its new board will need to make progress selling assets to pare $12.6 billion of debt.

The Indian government, which seized control of debt-laden financier Infrastructure Leasing & Financial Services Ltd., has pledged to ensure the beleaguered lender has the money to prevent further defaults, Bloomberg News reported. Superseding the board of IL&FS, which has defaulted on more than five of its obligations, was essential to restore the confidence of the financial markets, according to a statement by the finance ministry on Monday.

Troubled Indian shadow bank Infrastructure Leasing & Financial Services Ltd., whose recent debt defaults sparked concern about contagion in the nation’s financial markets, secured a lifeline after shareholders approved its plans to raise money through debt and equity, Bloomberg News reported. Stockholders green-lit IL&FS’s plans to raise as much as 150 billion rupees ($2.1 billion) through a non-convertible debt issue, hike the firm’s borrowing limit by 40 percent to 350 billion rupees and increase its share capital to enable a rights offering, the company said in a filing.

In July, Suyash Choudhary warned a liquidity crisis is looming in India and funding costs for companies were set to soar. Now, as investors get to grips with a cash crunch made worse by the debt crisis at a lender, Choudhary, the head of fixed-income funds at IDFC Asset Management Co., says the Reserve Bank of India may go slow in adding to the two rate increases since June, Bloomberg News reported. “Financial conditions have turned tight, and I think the RBI will have to pace incremental tightening at this juncture,” he said in an interview.

Chinese internet giant Tencent Holdings announced on Sunday its first restructuring in six years, done at a time it faces increased challenges from tighter government regulations, the International New York Times reported on a Reuters story. The reshuffle comes as Tencent Holdings, which has seen a hefty fall in market value this year, is facing fresh criticism from analysts and investors unnerved by regulatory roadblocks, a fuzzy overseas strategy and growing debt.