External Commercial Borrowings policy revisions restrict automatic access for investigated corporates and expand Approval route eligibility for certain developers.
The circular revises the ECB framework by modifying eligibility and procedural routes: extending Approval route access for integrated township developers; removing a lender direct lending ratio condition for NBFCs financing infrastructure while retaining Approval route scrutiny; allowing SEZ developers to obtain ECB for infrastructure within SEZs but excluding township and commercial real estate; and requiring corporates under ECB policy investigation to seek ECB only under the Approval route. All other ECB parameters and reporting obligations remain unchanged.

Realisation and repatriation period liberalisation extended for exporters, with SEZ and external warehouse rules remaining unchanged.
Liberalisation extends the period for realisation and repatriation of the full export value of goods and software, with Authorised Dealer Category I banks required to notify constituents. The existing treatment for exports by units in Special Economic Zones and exports to warehouses outside India remains unchanged. The extension was made in consultation with the Government and issued under provisions of the Foreign Exchange Management Act, without prejudice to other statutory permissions or approvals.

Line of Credit requires majority sourcing from India and prescribes sourcing, shipment declaration, disbursement timelines, and commission rules.
A Line of Credit from Exim Bank to Ethiopia finances eligible goods, services and consultancy for sugar industry development; at least 85 per cent of contract value must be supplied from India while up to 15 per cent (excluding consultancy) may be procured abroad. Agreement dated January 27, 2009 (effective June 1, 2009) sets LC/disbursement deadlines-48 months from project completion for project exports and 72 months from execution for supply contracts. Shipments must be declared on GR/SDF forms. No agency commission is payable under the LOC; exporters may use own funds or EEFC balances for commission after realization, subject to AD Category I bank compliance. Directions issued under FEMA sections 10(4) and 11(1).

Line of Credit for agricultural projects requires majority India sourced supplies and FEMA governed procedural compliance.
Exim Bank extended a Line of Credit to the Government of the Republic of Cameroon to finance specified maize and rice plantation projects, requiring at least 85 percent of contract value for goods and services to be supplied from India with up to 15 percent non consultancy goods procured outside India; shipments must be declared on GR/SDF forms, Letters of Credit and disbursements are subject to specified time limits, no agency commission is payable under the LOC though exporters may use own funds or EEFC balances for commission after realization, and AD Category I banks must notify exporters pursuant to directions under FEMA sections 10(4) and 11(1).

Foreign investment limits in commodity exchanges: deadline extended for divestment; non-compliance treated as FEMA violation.
Guidelines reaffirm a composite foreign investment ceiling for commodity exchanges with specified allocations between portfolio and direct investment and a restriction on any single foreign investor's equity share. Existing exchanges exceeding the prescribed foreign share must divest the excess and were granted an extended transition period to comply. All commodity exchanges must submit a compliance report disclosing foreign investment and equity structure to specified government departments and regulators. Non-compliance after the deadline will constitute a violation under the Foreign Exchange Management Act.

Line of Credit establishes India-origin supply requirement and specified letter-of-credit and disbursement timelines for project exports.
Exim Bank's Line of Credit for the Mozambique IT Park requires the bulk of contract value to be supplied from India while permitting limited non-consultancy procurement abroad; it prescribes specific cut-off periods for opening Letters of Credit and disbursement, mandates declaration of shipments on GR/SDF forms, disallows agency commission under the LOC except from exporter resources or EEFC balances in free foreign exchange subject to realisation and prevailing remittance rules, and directs AD Category-I banks to inform exporters and allow compliant remittances, with Directions issued under FEMA.

Loans against NR(E)RA and FCNR(B) deposits: cap raised and banks prohibited from splitting loans to evade limits.
Banks may grant loans secured by funds in NR(E)RA and FCNR(B) deposits to depositors or third parties up to a revised maximum limit, subject to an express prohibition on artificial slicing of loan amounts to circumvent the ceiling. The revision is effective immediately and the directions are issued under the relevant powers of the foreign exchange statute without prejudice to other statutory permissions.

Buyback of Foreign Currency Convertible Bonds permitted at higher limit with tiered minimum discounts and prior central bank approval.
Buyback of Foreign Currency Convertible Bonds (FCCBs) out of internal accruals is permitted up to an increased redemption-value ceiling per company with prior Reserve Bank approval, subject to tiered minimum discounts on book value linked to successive redemption-value bands; all other terms of the earlier A.P. (DIR Series) Circulars continue to apply and the procedure must be completed within the timeline specified in the related circular.

External Commercial Borrowings all-in-cost relaxation extended under approval route, with other ECB conditions unchanged and effective immediately.
All-in-cost ceilings for External Commercial Borrowings accessed under the approval route are temporarily dispensed with, permitting eligible borrowers to seek Reserve Bank approval for ECBs beyond prescribed cost ceilings; this relaxation is effective immediately and subject to review at the end of the extension. All other ECB parameters, including Automatic Route limits, eligible borrower and recognised lender criteria, end-use, maturity, prepayment, refinancing and reporting requirements, remain unchanged, and amendments to the FEMA borrowing regulations will be issued separately.

FDI transfer reporting requires revised FC TRS, KYC verification and timely AD bank submission for cross border share sales.
The circular revises reporting for sale transfers of shares, CMCPS and debentures between residents and non residents by mandating use of Form FC TRS with specified supporting documents and AD branch certification; requires KYC verification by the remittance receiving AD bank and submission of the FC TRS in quadruplicate within sixty days of receipt of consideration, places onus of timely filing on resident transferor/transferee, maintains prior RBI approval for deferred payment transactions and updates consolidated inflow/outflow reporting proformas submitted to the Reserve Bank.

Operating lease guarantees for aircraft allowed with FEMA no-objection, subject to board resolution and co-terminus guarantee.
AD Category I banks may convey a no objection from the foreign exchange angle for Indian importers to issue corporate guarantees in favour of overseas lessees for operating leases of aircraft, aircraft engines and helicopters, provided there is a board resolution authorising the guarantee (naming authorised signatories) and the guarantee period is co terminous with the lease; the no objection is limited to foreign exchange compliance and does not substitute for other statutory approvals.

Line of credit for export financing imposes Indian content and FEMA-based compliance for shipments and disbursements.
A national export credit institution extended a Line of Credit to finance exports of eligible goods and services with an 85% minimum Indian-sourced content and up to 15% external sourcing for non-consultancy items; the Credit Agreement sets effective and execution dates and distinct time-limits for opening Letters of Credit and final disbursement for project versus supply contracts. Shipments must be declared on prescribed GR/SDF forms; no agency commission is payable from the LOC though exporters may use their own foreign exchange balances to pay commissions subject to prevailing remittance rules; AD Category I banks must notify exporters and comply with FEMA-based directions without prejudice to other statutory approvals.

Online GR form access for export declarations enables official form printing and automated GR number assignment.
Export declaration forms (GR Forms) may be downloaded from the Reserve Bank website and printed on legal-size paper with printer and page-setup configured; the GR number will be generated automatically when the document goes to the print queue. Physical GR Forms will remain available from regional offices during a one-year transition, after which that supply will be phased out. Authorised Dealer Category I banks must notify their constituents, and the instruction is issued under the powers of the Foreign Exchange Management statute without prejudice to other legal permissions.

Special currency basket value revised; banks must apply the new rupee rate immediately under FEMA authority.
The circular fixes a revised rupee valuation for the special currency basket applicable to the Deferred Payment Protocols with the erstwhile USSR and directs Authorised Dealer Category I banks to apply the revised rupee value in relevant transactions and to inform their constituents. The instruction is issued under the Foreign Exchange Management Act and does not affect any other permissions or approvals required under law.

Allocation of FII corporate debt limits on first-come first-served basis with short utilisation window for registered entities.
A one billion US dollar tranche of corporate debt investment capacity was allocated to FIIs/sub accounts on a first come first served basis, subject to a per registered entity ceiling of Rs.249 crore; specific limits for named entities were listed in an Annexure. Allocations had to be utilised within eleven working days, with the utilisation deadline set as April 9, 2009.

FCCB buyback deadline extended; completion required by new date and existing buyback terms remain unchanged.
The deadline for completing the entire buyback/prepayment procedure for Foreign Currency Convertible Bonds (FCCBs) under A. P. (DIR Series) Circular No.39 is extended to the revised year end; all other terms and conditions of the earlier circular remain unchanged and AD Category I banks must notify their constituents. The directions are issued under the Foreign Exchange Management Act, 1999 and do not affect permissions required under other laws.

Money changing regulation consolidated: updated AML and operational requirements now mandatory with statutory penalties for non compliance.
Consolidated instructions rationalise prior circulars and the Anti Money Laundering Guidelines into an annexed set of directions for Authorised Money Changers covering licence conditions, permitted transactions, customer identification, record keeping and AML safeguards; compliance is mandatory under Section 10(4) and Section 11(1) of the Foreign Exchange Management Act, 1999, with penal consequences under Section 11(3) for non compliance.

Line of Credit conditions require minimum domestic content, set L/C and disbursement timelines with restricted commission payments.
The Exim Bank LOC to the Government of the Republic of Gambia conditions financing on at least 85 per cent of contract value being supplied from India, permits up to 15 per cent external procurement (excluding consultancy), requires shipment declarations on GR/SDF forms, sets distinct LC and disbursement timelines for project and supply contracts, disallows agency commission under the LOC while permitting exporter-funded commission in free foreign exchange subject to AD Category I bank compliance and realization, and is issued under the Foreign Exchange Management Act.

Line of Credit conditions require predominant domestic sourcing and specified disbursement timelines for export contracts.
Line of Credit by Export-Import Bank of India to Sierra Leone finances export of specified agricultural equipment, requiring at least 85 per cent of contract value supplied from India and permitting up to 15 per cent procurement abroad (excluding consultancy). The Agreement is effective from February 2, 2009 with contract-tied disbursement deadlines; shipments must be reported on GR/SDF forms. No agency commission is payable under the LOC, though exporters may pay from their own resources or EEFC balances subject to AD Category-I banks' post-realization approval and prevailing rules. Directions are issued under FEMA provisions without prejudice to other statutory permissions.

Line of Credit sets sourcing, documentation and commission remittance conditions for Gabon housing exports under FEMA directions.
Exim Bank provided a USD 14.50 million Line of Credit to Gabon for a housing project requiring at least 65 per cent of contract value supplied from India and up to 35 per cent (excluding consultancy) procured abroad. The LOC is effective January 1, 2009; LCs and disbursements must cease 48 months after the project's scheduled completion. Shipments must be declared on GR/SDF forms. No agency commission is payable under the LOC; exporters may remit commission from their own funds or EEFC balances in free foreign exchange subject to AD Category I bank and prevailing instructions. Directions issued under FEMA sections 10(4) and 11(1).