<h1>India Launches Foreign Currency Exchangeable Bonds for Companies to Raise Funds, Restrictions on Use and Maturity Apply.</h1> The government announced a scheme for issuing Foreign Currency Exchangeable Bonds (FCEBs) following the Finance Minister's 2007-2008 budget speech. These bonds allow Indian companies to raise funds by exchanging them into equity shares of another company within the same promoter group. The issuing company must hold equity in the offered company, which should be listed and eligible for Foreign Direct Investment. Proceeds must comply with investment policies and cannot be used for capital market or real estate investments in India. The bonds have a minimum maturity of five years, with interest and expenses regulated by the Reserve Bank of India.