External Commercial Borrowings: revised borrowing cap for MFIs and NGOs under automatic route with eligibility and safeguards. ECB policy now permits MFIs and NGOs engaged in micro finance to raise ECB under the Automatic Route subject to eligibility (societies, trusts, cooperatives, NBFC-MFIs, Section 25 companies), lender safeguards and due diligence certification by the designated AD, permitted end-uses limited to lending for micro-credit and capacity building, compliance with existing ECB parameters, and AD responsibility to certify borrower status and ensure full forex hedging at drawdown.
Cases where this provision is explicitly mentioned in the judgment/order text; may not be exhaustive. To view the complete list of cases mentioning this section, Click here.
Provisions expressly mentioned in the judgment/order text.
External Commercial Borrowings: revised borrowing cap for MFIs and NGOs under automatic route with eligibility and safeguards.
ECB policy now permits MFIs and NGOs engaged in micro finance to raise ECB under the Automatic Route subject to eligibility (societies, trusts, cooperatives, NBFC-MFIs, Section 25 companies), lender safeguards and due diligence certification by the designated AD, permitted end-uses limited to lending for micro-credit and capacity building, compliance with existing ECB parameters, and AD responsibility to certify borrower status and ensure full forex hedging at drawdown.
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