From: Daniel, Decardy@oberlin.edu
Salman Rusdhie has also made very explicit references to Borges' writing. In fact, in his book of essays Rushdie recalls having carried with him constantly several "passports," one of which was Borges' Ficciones. Also, in the acknowledgements to The Satanic Verses, Rushdie cites Borges' Book of Imaginary Beings for the description of the Manitcore. And most humorously, Rushdie refers to Italo Calvino as "Borges on a bad day."
Salman Rushdie Page -- Subir Grewel's page on the author presents many good links.