External Commercial Borrowings Policy: Liberalisation

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....I) banks is invited to the A. P. (DIR Series) Circular No.5 dated August 1, 2005, A. P. (DIR Series) Circular No. 60 dated May 21, 2007, A. P. (DIR Series) Circular No. 4 dated August 7. 2007 and A. P. (DIR Series) Circular No. 43 dated May 29, 2008, A.P.(DIR Series) Circular No. 16 dated September 22, 2008 and A.P. (DIR Series) Circular No. 20 dated October 8, 2008 relating to External Commercial....

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.... actual requirement in India and such proceeds can be invested in the following liquid assets (a) deposits or certificate of deposit offered by banks rated not less than AA (-) by Standard and Poor / Fitch IBCA or Aa3 by Moody's; (b) deposits with overseas branch of an AD bank in India; and (c) Treasury bills and other monetary instruments of one year maturity having minimum rating as indicated ab....

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....years 200 bps 300 bps More than five years and up to seven years 350 bps 500 bps More than seven years 450 bps * for the respective currency of borrowing or applicable benchmark. The all-in-cost ceilings will be reviewed from time to time depending on the conditions in the international financial markets. 7. Keeping in view the risks associated with unhedged foreign exchange exposures o....