... the credit constraints faced by exporting MSMEs in the Indian manufacturing sector compel them to seek FCB to cover these additional upfront costs? Foreign currency borrowing (FCB) Export MSME Credit constraint Random effect probit model Two-step system GMM F10 F34 G10 Since...

... and endogeneity, the authors use the two-step quantile regression (2SQR), three-stage least square (3SLS) and two-step system-GMM (System-GMM). Findings The findings reveal that the relationship of FI and stability depends on the measurement of FI used and the heterogeneity of different macroeconomic factors...