External commercial borrowings: scheme permits ECB for repayment of rupee loans and rupee capital expenditure linked to overseas JV/WOS. The ECB scheme is extended to Indian companies with overseas JV/WOS/assets, allowing ECB under the Approval Route for repayment of term Rupee loans (average residual maturity five years or more) and for Rupee capital expenditure. ECB eligibility is capped by the higher of 75% of past three years' average foreign exchange earnings or 75% of assessed average potential forex earnings for the next three years from the overseas operations, certified by prescribed professionals. ECB must be repaid out of forex earnings remitted from those overseas JV/WOS/assets; past dividends, repatriated profits and other forex inflows are counted as such earnings.
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: scheme permits ECB for repayment of rupee loans and rupee capital expenditure linked to overseas JV/WOS.
The ECB scheme is extended to Indian companies with overseas JV/WOS/assets, allowing ECB under the Approval Route for repayment of term Rupee loans (average residual maturity five years or more) and for Rupee capital expenditure. ECB eligibility is capped by the higher of 75% of past three years' average foreign exchange earnings or 75% of assessed average potential forex earnings for the next three years from the overseas operations, certified by prescribed professionals. ECB must be repaid out of forex earnings remitted from those overseas JV/WOS/assets; past dividends, repatriated profits and other forex inflows are counted as such earnings.
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