Overseas Foreign Currency Borrowings by Authorised Dealer Banks

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....d to AP (DIR Series) circulars no. 40 dated September 10, 2013 read with AP (DIR Series) Circular no. 61 dated October 10, 2013 in terms of which they were permitted to borrow from international/multilateral financial institutions up to 100 percent of their Tier-I capital subject to the conditions mentioned therein and also swap the borrowed amount with the Reserve Bank at a concessional rate as m....

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....rst leg of which the bank will sell forward the contracted amount of foreign currency corresponding to the loan amount for delivery up to December 31, 2013. However, if the bank is not in a position to deliver the contracted amount of foreign currency on the contracted date, it would have to pay the difference between concessional swap rate contracted and the market swap rate plus one hundred basi....