TaxTMI 
TaxTMI 
Master Direction - External Commercial Borrowings, Trade Credit, Borrowing and Lending in Foreign Currency by Authorised Dealers and Persons other than Authorised Dealers
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.... Borrowings (ECB) and Trade Credit are governed by clause (d) of sub-section 3 of section 6 of the Foreign Exchange Management Act, 1999 (FEMA). Various provisions in respect of these two types of borrowings from overseas are included in the following three Regulations framed under FEMA: * Foreign Exchange Management (Borrowing or Lending in Foreign Exchange) Regulations, 2000, notified vide Notification No. FEMA 3/2000-RB dated May 3, 2000; * Foreign Exchange Management (Transfer or Issue of any Foreign Security) Regulations, 2004, notified vide Notification No. FEMA 120/2004-RB dated July 07, 2004; and * Foreign Exchange Management (Guarantees) Regulations, 2000, notified vide Notification No. FEMA 8/2000-RB dated May 03, 2000. These Regulations are amended from time to time to incorporate the changes in the regulatory framework and published through amendment notifications. 2. Within the contours of the Regulations, Reserve Bank of India also issues directions to Authorised Persons under Section 11 of the Foreign Exchange Management Act (FEMA), 1999. These directions lay down the modalities as to how the foreign exchange business has to be conducted by the Authorised Per....
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....ration Number (LRN) 2.12.2 Changes in terms and conditions of ECB 2.12.3 Reporting of actual transactions 2.12.4 Reporting on account of conversion of ECB into equity 2.13 Foreign Currency Convertible Bonds (FCCBs) 2.14 Foreign Currency Exchangeable Bonds (FCEBs) 2.15 Refinancing of ECB 2.16 Powers delegated to AD Category I banks to deal with ECB cases 2.16.1 Additional requirements 2.17 Borrowing by Entities under Investigation 2.18 ECB by entities under Joint Lender Forum (JLF) or Corporate Debt Restructuring (CDR) 2.19 Dissemination of information 2.20 Compliance with the guidelines 2.21 ECB raised under the erstwhile USD 5 million Scheme 2.22 ECB arrangements prior to December 02, 2015 2.22.1 ECB facility for Carve Outs 2.22.1.1 ECB facility for working capital by airlines companies 2.22.1.2 ECB facility for consistent foreign exchange earners under the USD 10 billion Scheme 2.22.1.3 ECB facility for low cost affordable housing projects 2.23 2ECB facility for Startups 2.23.1 Eligibility 2.23.2 Maturity 2.23.3 Recognised lenders 2.23.4 Form of borrowing 2.23.5 Currency of borrowing 2.23.6 Amount 2.23.7 All-in-cost 2.23.8 End....
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....) FDI: Foreign Direct Investment FED: Foreign Exchange Department FEMA: Foreign Exchange Management Act FIPB: Foreign Investment Promotion Board HFC: Housing Finance Company IDC: Interest during Construction IFC: Infrastructure Finance Company INR: Indian Rupee JV: Joint Venture LC: Letter of Credit LIBOR: London Interbank Offered Rate LoC: Letter of Comfort LoU: Letter of Undertaking LRN: Loan Registration Number MFI: Micro Finance Institution NBFC: Non-Banking Financial Company NGO: Non-Government Organisation NHB: National Housing Bank NMIZ: National Manufacturing Investment Zone NNPA: Net Non-Performing Assets NOF: Net Owned Fund NRE: Non-Resident External NRO: Non-Resident Ordinary NSE: National Stock Exchange OCB: Overseas Corporate Body ODI: Overseas Direct Investment RBI: Reserve Bank of India RoC: Registrar of Companies SEZ: Special Economic Zone SHG: Self-Help Group SIDBI: Small Industries Development Bank of India SME: Small and Medium Enterprise SPV: Special Purpose Vehicle USD: United States Dollar WOS: Wholly Owned Subsidiary 1. Important terms used in the Master Direction 1.1 The term 'All-in-Cos....
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.... I Bank' is the bank branch which is designated by the ECB borrower for meeting the reporting requirements including obtention of the Loan Registration Number (LRN) from RBI, exercising the delegated powers under these guidelines and monitoring of ECB transactions. 1.5 The term 'Foreign Currency Convertible Bonds' (FCCBs) refers to foreign currency denominated instruments which are issued in accordance with the Issue of Foreign Currency Convertible Bonds and Ordinary Shares (Through Depositary Receipt Mechanism) Scheme, 1993 as amended from time to time. 1.6 The term 'Foreign Currency Exchangeable Bonds' (FCEBs) refers to foreign currency denominated instruments which are issued in accordance with the Issue of Foreign Currency Exchangeable Bonds Scheme, 2008. 1.7 The term 'Foreign Equity Holder' means (a) direct foreign equity holder with minimum 25% direct equity holding by the lender in the borrowing entity, (b) indirect equity holder with minimum indirect equity holding of 51%, and (c) group company with common overseas parent. 1.8 The term 'Infrastructure Sector' has the same meaning as given in the Harmonised Master List of Infrastructure sub-sectors approved by Government....
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....ted ECBs with minimum average maturity period of 1 year. 2.2 Forms of ECB: The ECB Framework enables permitted resident entities to borrow from recognized non-resident entities in the following forms: * Loans including bank loans; * Securitized instruments (e.g. floating rate notes and fixed rate bonds, non-convertible, optionally convertible or partially convertible preference shares / debentures); * Buyers' credit; * Suppliers' credit; * Foreign Currency Convertible Bonds (FCCBs); * Financial Lease; and * Foreign Currency Exchangeable Bonds (FCEBs) 7However, ECB framework is not applicable in respect of the investment in Non-convertible Debentures (NCDs) in India made by Registered Foreign Portfolio Investors (RFPIs). 2.3 Available routes for raising ECB: Under the ECB framework, ECBs can be raised either under the automatic route or under the approval route. For the automatic route, the cases are examined by the Authorised Dealer Category-I (AD Category-I) banks. Under the approval route, the prospective borrowers are required to send their requests to the RBI through their ADs for examination. While the regulatory provisions are mostly similar, there are some d....
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....stitutions (NBFCs-MFIs), Not for Profit companies registered under the Companies Act, 1956/2013, Societies, trusts and cooperatives (registered under the Societies Registration Act, 1860, Indian Trust Act, 1882 and State-level Cooperative Acts/Multi-level Cooperative Act/State-level mutually aided Cooperative Acts respectively), Non-Government Organisations (NGOs) which are engaged in micro finance activities1. * Companies engaged in miscellaneous services viz. research and development (R&D), training (other than educational institutes), companies supporting infrastructure, companies providing logistics services. 15Also, companies engaged in maintenance, repair and overhaul and freight forwarding. * Developers of Special Economic Zones (SEZs)/ National Manufacturing and Investment Zones (NMIZs). Notes: 1. Entities engaged in micro-finance activities to be eligible to raise ECB: (i) should have a satisfactory borrowing relationship for at least three years with an AD Category I bank in India, and (ii) should have a certificate of due diligence on 'fit and proper' status from the AD Category I bank. 2.4.3 Recognised Lenders/Investors: The list of recognized lenders / investors ....
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....es which do not adhere to FATF guidelines on AML / CFT are not eligible to extend ECB. 2.4.4 All-in-Cost (AIC): The all-in-cost requirements for the three tracks will be as under: Track I Track II Track III * 17The all-in-cost ceiling is prescribed through a spread over the benchmark, i.e., 450 basis points per annum over 6 month LIBOR or applicable benchmark for the respective currency. * Penal interest, if any, for default or breach of covenants should not be more than 2 per cent over and above the contracted rate of interest. * 18The maximum spread over the benchmark of 6 month LIBOR or applicable benchmark for the respective currency will be 450 basis points per annum. * Remaining conditions will be as given under Track I. * 19The maximum spread will be 450 basis points per annum over the prevailing yield of the Government of India securities of corresponding maturity. * Same as Track I. 2.4.5 End-use prescriptions: The end-use prescriptions for ECB raised under the three tracks are 20as under: The negative list for all Tracks would include the following: a. Investment in real estate or purchase of land except when used for affordable housing as defined in Ha....
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....t can be reckoned for calculating the 'equity' of the foreign equity holder. Where there are more than one foreign equity holders in the borrowing company, the portion of the share premium in foreign currency brought in by the lender(s) concerned shall only be considered for calculating the ratio. 2.4.7 Currency of Borrowing: ECB can be raised in any freely convertible foreign currency as well as in Indian Rupees. Further details are given below: i. In case of Rupee denominated ECB, the non-resident lender, other than foreign equity holders, should mobilise Indian Rupees through swaps/outright sale undertaken through an AD Category I bank in India. ii. Change of currency of ECB from one convertible foreign currency to any other convertible foreign currency as well as to INR is freely permitted. Change of currency from INR to any foreign currency is, however, not permitted. iii. Change of currency of ECB into INR can be at the exchange rate prevailing on the date of the agreement between the parties concerned for such change or at an exchange rate which is less than the rate prevailing on the date of agreement if consented to by the ECB lender. 2.5 Hedging Requirements: 26Borro....
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.... / or personal guarantee, and * No objection certificate, as applicable, from the existing lenders in India has been obtained. 2.6.1 Additional conditions: Once aforesaid stipulations are met, the AD Category I bank may permit creation of charge on immovable assets, movable assets, financial securities and issue of corporate and / or personal guarantees, during the currency of the ECB with security co-terminating with underlying ECB, subject to the following: 2.6.1.1 Creation of Charge on Immovable Assets: The arrangement shall be subject to the following: * Such security shall be subject to provisions contained in the Foreign Exchange Management (Acquisition and Transfer of Immovable Property in India) Regulations, 2000. * The permission should not be construed as a permission to acquire immovable asset (property) in India, by the overseas lender/ security trustee. * In the event of enforcement / invocation of the charge, the immovable asset/ property will have to be sold only to a person resident in India and the sale proceeds shall be repatriated to liquidate the outstanding ECB. 2.6.1.2 Creation of Charge on Movable Assets: In the event of enforcement/ invocation of ....
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....Issuance of guarantee, standby letter of credit, letter of undertaking or letter of comfort by Indian banks, All India Financial Institutions and NBFCs relating to ECB is not permitted. Further, financial intermediaries (viz. Indian banks, All India Financial Institutions, or NBFCs) shall not invest in FCCBs in any manner whatsoever. 2.8 Debt Equity Ratio: The borrowing entities will be governed by the guidelines on debt equity ratio issued, if any, by the sectoral or prudential regulator concerned. 2.9 Parking of ECB proceeds: ECB proceeds are permitted to be parked abroad as well as domestically in the manner given below: 2.9.1 Parking of ECB proceeds abroad: ECB proceeds meant only for foreign currency expenditure can be parked abroad pending utilization. Till utilisation, these funds can be invested in the following liquid assets (a) deposits or Certificate of Deposit or other products offered by banks rated not less than AA (-) by Standard and Poor/ Fitch IBCA or Aa3 by Moody's; (b) Treasury bills and other monetary instruments of one year maturity having minimum rating as indicated above and (c) deposits with overseas branches/ subsidiaries of Indian banks abroad. 2.9.2 P....
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....certain threshold limit (refixed from time to time) would be placed before the Empowered Committee set up by the Reserve Bank. The Empowered Committee will have external as well as internal members and the Reserve Bank will take a final decision in the cases taking into account recommendation of the Empowered Committee. Entities desirous to raise ECB under the automatic route may approach an AD Category I bank with their proposal along with duly filled in Form 83. Formats of Form ECB and Form 83 are available at Annex I and II respectively of Part V of the Master Directions - Reporting under Foreign Exchange Management Act, 1999. 2.12 Reporting Requirements: Borrowings under ECB Framework are subject to reporting requirements in respect of the following: 2.12.1 Loan Registration Number (LRN):Any draw-down in respect of an ECB as well as payment of any fees / charges for raising an ECB should happen only after obtaining the LRN from RBI. To obtain the LRN, borrowers are required to submit duly certified Form 83, which also contains terms and conditions of the ECB, in duplicate to the designated AD Category I bank. In turn, the AD Category I bank will forward one copy to the Direct....
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.... issue size and in case of private placement, not exceeding 2 per cent of the issue size, etc. as required in terms of provisions contained in Regulation 21 of the Foreign Exchange Management (Transfer or Issue of any Foreign Security) Regulations, 2000 read with Schedule I to the Regulations, FCCBs are also subject to all the regulations which are applicable to ECBs. 2.14 Foreign Currency Exchangeable Bonds (FCEBs): FCEBs can be issued only under the approval route and shall have minimum maturity of 5 years. The bonds are exchangeable into equity share of another company, to be called the Offered Company, in any manner, either wholly, or partly or on the basis of any equity related warrants attached to debt instruments. Issuance of FCEBs shall conform to the provisions contained in Regulation 21 of the Foreign Exchange Management (Transfer or Issue of any Foreign Security) Regulations, 2000 read with Schedule IV to the Regulations which contain eligibilities in respect of the issuer, offered company, subscriber, permitted end-uses, etc. The all-in-cost of FCEBs should be within the ceiling specified by RBI for ECB. 2.15 Refinancing of ECB: Refinancing of existing ECB with fresh ....
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....nt ECB guidelines and, (b) there is no change in the other terms and conditions of the ECB. If not, case has to be referred to the Foreign Exchange Department, Central Office, Reserve Bank of India, Mumbai. vii. Change in the name of Lender: Designated AD Category I banks may permit changes in the name of the lender of ECB after satisfying themselves with the bonafides of the transactions and ensuring that the ECB continues to be in compliance with applicable guidelines. viii. Prepayment of ECB: Prepayment of ECB may be allowed by AD Category I banks subject to compliance with the stipulated minimum average maturity as applicable to the contracted loan under these guidelines. ix. Cancellation of LRN: The designated AD Category I banks may directly approach DSIM for cancellation of LRN for ECBs contracted, subject to ensuring that no draw down against the said LRN has taken place and the monthly ECB-2 returns till date in respect of the allotted LRN have been submitted to DSIM. x. Change in the end-use of ECB proceeds: The designated AD Category I banks may approve requests from ECB borrowers for change in end-use in respect of ECBs availed of under the automatic route, provided....
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.... changes approved by the Reserve Bank should be reported to the DSIM/RBI through revised Form 83 at the earliest, in any case not later than 7 days from the changes effected. While submitting revised Form 83 to the DSIM/RBI, the changes should be specifically mentioned in the communication. Further, these changes should also get reflected in the ECB 2 returns appropriately. Notes: 7. Changes in the end-use of ECBs raised under the approval route will continue to be referred to the Foreign Exchange Department, Central Office, Reserve Bank of India, Mumbai. 2.17 Borrowing by Entities under Investigation: All entities against which investigation / adjudication / appeal by the law enforcing agencies for violation of any of the provisions of the Regulations under FEMA pending, may raise ECBs as per the applicable norms, if they are otherwise eligible, notwithstanding the pending investigations / adjudications / appeals, without prejudice to the outcome of such investigations / adjudications / appeals. The borrowing entity shall inform about pendency of such investigation / adjudication / appeal to the AD Cat-I bank / RBI as the case may be. Accordingly, in case of all applications whe....
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.... or any AD Category I bank. For raising of ECB under the following carve outs, the borrowers will, however, have time up to March 31, 2016 to sign the loan agreement and obtain the LRN from the Reserve Bank by this date: * ECB facility for working capital by airlines companies; * ECB facility for consistent foreign exchange earners under the USD 10 billion Scheme; and * ECB facility for low cost affordable housing projects (low cost affordable housing projects as defined in the extant Foreign Direct Investment policy) 2.22.1 ECB facility for Carve Outs: More information about the ECB facility for carve outs listed above at 2.22 is as under: 2.22.1.1 ECB facility for working capital by airlines companies: Airline companies registered under the Companies Act, 1956 and possessing scheduled operator permit license from DGCA for passenger transportation are eligible to raise ECB. Such ECBs will be allowed based on the cash flow, foreign exchange earnings and the capability to service the debt. The ECBs can be raised with a minimum average maturity period of three years and will be subject to the following terms and conditions: * The overall ECB ceiling for the entire civil avi....
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....restricted to USD 3 billion. * Within the overall ceilings given above, Indian companies in the aforesaid three sectors which have established Joint Venture (JV)/ Wholly Owned Subsidiary (WOS) / have acquired assets overseas in compliance with extant regulations under FEMA can raise ECB for repayment of all term loans having average residual maturity of 5 years and above and credit facilities availed of from domestic banks for overseas investment in JV/WOS, in addition to Capital Expenditure. The maximum permissible ECB that can be availed of by an individual company will be limited to 75 per cent of the average annual export earnings realized during the past three financial years or 75 per cent of the assessment made about the average foreign exchange earnings potential for the next three financial years of the Indian companies from the JV/ WOS/ assets abroad as certified by Statutory Auditors/ Chartered Accountant/ Certified Public Accountant/ Category I Merchant Banker registered with SEBI/ an Investment Banker outside India registered with the appropriate regulatory authority in the host country. The past earnings in the form of dividend/repatriated profit/ other forex inflow....
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....ts (NNPA) should not exceed 2.5 % of the net advances. The maximum loan amount sanctioned to the individual buyer will be capped at INR 25 lakh subject to the condition that the cost of the individual housing unit shall not exceed INR 30 lakh. HFCs while making the applications, shall submit a certificate from NHB that the availment of ECB is for financing prospective owners of individual units for the low cost affordable housing and ensure that the interest rate spread charged by them to the ultimate buyer is reasonable. * NHB is also eligible to raise ECB for financing low cost affordable housing units of individual borrowers. Further, in case, a developer of low cost affordable housing project not being able to raise ECB directly as envisaged above, National Housing Bank is permitted to avail of ECB for on-lending to such developers which satisfy the conditions prescribed to developers / builders subject to the interest rate spread set by RBI. * Interest rate spread to be charged by NHB may be decided by NHB taking into account cost and other relevant factors. NHB shall ensure that interest rate spread for HFCs for on-lending to prospective owners' of individual units under ....
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....er. 2.23.9 Conversion into equity: Conversion of ECB into equity is freely permitted subject to Regulations applicable for foreign investment in Startups. 2.23.10 Security: The choice of security to be provided to the lender is left to the borrowing entity. Security can be in the nature of movable, immovable, intangible assets (including patents, intellectual property rights), financial securities, etc. and shall comply with foreign direct investment / foreign portfolio investment / or any other norms applicable for foreign lenders / entities holding such securities. 2.23.11 Corporate and personal guarantee: Issuance of corporate or personal guarantee is allowed. Guarantee issued by a non-resident(s) is allowed only if such parties qualify as lender under paragraph 2.23.3 above. Exclusion: Issuance of guarantee, standby letter of credit, letter of undertaking or letter of comfort by Indian banks, all India Financial Institutions and NBFCs is not permitted. 2.23.12 Hedging: The overseas lender, in case of INR denominated ECB, will be eligible to hedge its INR exposure through permitted derivative products with AD Category - I banks in India. The lender can also access the domes....
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....pproach the Department of Statistics and Information Management for obtaining loan registration number.45 46 47 3.3 Parameters of borrowing by issuance of Rupee denominated bonds: Various parameters for raising loan under the Framework for issuance of Rupee denominated bonds overseas are given below: 3.3.1 Minimum Maturity: 48Minimum original maturity period for Rupee denominated bonds raised up to USD 50 million equivalent in INR per financial year should be 3 years and for bonds raised above USD 50 million equivalent in INR per financial year should be 5 years.49. The call and put option, if any, shall not be exercisable prior to completion of minimum maturity. 3.3.2 Eligible borrowers: Any corporate or body corporate is eligible to issue such bonds. REITs and INVITs coming under the regulatory framework of the SEBI are also eligible. 3.3.2.1 Indian banks as eligible borrowers: 50Indian banks will also be eligible to issue Rupee denominated bonds overseas by way of the following instruments, subject to conforming to the provisions contained in the Master Circular DBR.No.BP.BC.1/21.06.201/2015-16 dated July 01, 2015 on 'Basel III Capital Regulations' and Circular DBOD.BP.BC.No....
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....grated township / affordable housing projects; * Investing in capital market and using the proceeds for equity investment domestically; * Activities prohibited as per the foreign direct investment guidelines; * On-lending to other entities for any of the above purposes; and * Purchase of Land 3.3.6 Exchange Rate for conversion: The exchange rate for foreign currency - Rupee conversion shall be the market rate on the date of settlement for the purpose of transactions undertaken for issue and servicing of the bonds 3.3.7 Hedging: The overseas investors are eligible to hedge their exposure in Rupee through permitted derivative products with AD Category I banks in India. The investors can also access the domestic market through branches / subsidiaries of Indian banks abroad or branches of foreign banks with Indian presence on a back to back basis. 3.3.8 Leverage Ratio: The borrowing by financial institutions under the Framework shall be subject to the leverage ratio prescribed, if any, by the sectoral regulator as per the prudential norms. 61 62 3.3.9 63Other provisions: Other provisions of ECB framework given under paragraph 2 above, 64obtaining LRN, 65 reporting, parking....
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....e trade credit for import of non-capital and capital goods up to USD 20 million or equivalent per import transaction. 5.2.2 Approval Route: The proposals involving trade credit for import of non-capital and capital goods beyond USD 20 million or equivalent per import transaction are considered by the RBI. 5.3 Maturity prescription: Maturity prescriptions for trade credit are same under the automatic and approval routes. While for the non-capital goods, the maturity period is up to one year from the date of shipment or the operating cycle whichever is less, for capital goods, the maturity period is up to five year from the date of shipment. For trade credit up to five years, the ab-initio contract period should be 6 (six) months. No roll-over/extension will be permitted beyond the permissible period. 5.4 Cost of raising Trade Credit: The all-in-cost ceiling for raising Trade Credit is 350 basis points over 6 months LIBOR (for the respective currency of credit or applicable benchmark). The all-in-cost include arranger fee, upfront fee, management fee, handling/ processing charges, out of pocket and legal expenses, if any. 5.5 Guarantee for Trade Credit: AD Category I banks are pe....
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....s mentioned below: * The borrowing may be from the Head Office or branch or correspondent outside India of the authorised dealer or any other entity as permitted by RBI. * The aggregate amount of borrowing by all branches of authorised dealer from all permitted sources shall be upto hundred percent of the unimpaired Tier I capital of the authorised dealer or such other limit as decided by the RBI from time to time, or US$ 10 million, whichever is more. * A branch outside India of an authorised dealer may borrow in the normal course of its banking business outside India, subject to the directions or guidelines issued RBI from time to time, and the Regulatory Authority of the country where the branch is located. * An authorised dealer may borrow from a bank or a financial institution outside India, for the purpose of granting pre-shipment or post-shipment credit to his exporter constituent in India * The borrowing shall be subject to compliance with prudential norms, interest rate directives and guidelines, if any, issued by RBI from time to time 6.2 Lending in foreign currency by an Authorised Dealer: An authorised dealer in India or his branch outside India may lend in f....
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....orter in India may, for import of goods into India, avail of foreign currency credit for a period not exceeding six months extended by the overseas supplier of goods, provided the import is in compliance with the Export Import Policy of the Government of India in force. iii. Borrowing by resident individual: An individual resident in India may borrow a sum not exceeding US$ 250,000/- or its equivalent from his close relative outside India, subject to the conditions that: * the minimum maturity period of the loan is one year; * the loan is free of interest; and * the amount of loan is received by inward remittance in free foreign exchange through normal banking channels or by debit to the NRE/FCNR account of the non-resident lender. 7.2 Lending in foreign currency by persons other than an authorised dealer: The circumstances and the conditions regarding lending in foreign currency by persons other than an authorised dealer are mentioned below: * Lending to WOS / JV: An Indian entity may lend to its wholly owned subsidiary or joint venture abroad constituted in accordance with the provisions of Foreign Exchange Management (Transfer or issue of foreign security) Regulations,....
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....vailable to a resident, being a principal debtor to make payment to a person resident outside India, who has met the liability under a guarantee. * In cases where the liability is met by the non-resident out of funds remitted to India or by debit to his FCNR(B)/ NRE account, the repayment may be made by credit to the FCNR(B)/ NRE/ NRO account of the guarantor provided, the amount remitted/credited shall not exceed the rupee equivalent of the amount paid by the non-resident guarantor against the invoked guarantee. * AD Category I banks are required to furnish at quarterly interval details of guarantees availed of/ invoked, by all its branches, in a format specified by RBI, to the Principal Chief General Manager, Foreign Exchange Department, ECB Division, Reserve Bank of India, Central Office Building, 11th floor, Fort, Mumbai - 400 001 so as to reach the Department not later than 10th day of the month following quarter to which the data pertain to. 8.2 Facility of Credit Enhancement: The facility of credit enhancement by eligible non-resident entities (viz. Multilateral financial institutions (such as, IFC, ADB, etc.) / regional financial institutions and Government owned (eith....
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....A.197/2009-RB September 22, 2009 14 FEMA.232/2012-RB May 30, 2012 15 FEMA.245/2012-RB November 12, 2012 16 FEMA.246/2012-RB November 27, 2012 17 FEMA.250/2012-RB December 06, 2012 18 FEMA.256/2013-RB February 6, 2013 19 FEMA.270/2013-RB March 19, 2013 20 FEMA.281/2013-RB July 19, 2013 21 FEMA.286/2013-RB September 5, 2013 22 FEMA.288/2013-RB September 26, 2013 23 FEMA.358/2015-RB December 02, 2015 24 FEMA.8/2000-RB May 03, 2000 25 FEMA.129/2005-RB January 20, 2005 26 FEMA.206/2012-RB June 01, 2010 27 FEMA.251/2012-RB December 06, 2012 28 FEMA.269/2013-RB March 11, 2013 29 FEMA.120/2004-RB July 07, 2004 30 FEMA.188/2009-RB February 03, 2009 31 FEMA.231/2012-RB May 30, 2012 32 FEMA.359/2015-RB December 02, 2015 Sr. No. Circular Date 1 A.D. (MA) 11 May 16, 2000 2 A.P.(DIR Series) Circular No.41 April 29, 2002 3 A.P.(DIR Series) Circular No.29 October 18, 2003 4 A.P.(DIR Series) Circular No.60 January 31, 2004 5 A.P.(DIR Series) Circular No.75 February 23, 2004 6 A.P.(DIR Series) Circular No.82 April 1, 2004 7 A.P.(DIR Series) Circular No.87 April 17, 2004 8 A.P.(DIR Series) Circular No.15 October 1, 2....
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....ircular No.44 November 15, 2011 54 A.P.(DIR Series) Circular No.51 November 23, 2011 55 A.P.(DIR Series) Circular No.52 November 23, 2011 56 A.P.(DIR Series) Circular No.59 December 19, 2011 57 A.P.(DIR Series) Circular No.64 January 05, 2012 58 A.P.(DIR Series) Circular No.69 January 25, 2012 59 A.P.(DIR Series) Circular No.70 January 25, 2012 60 A.P.(DIR Series) Circular No.75 February 07, 2012 61 A.P.(DIR Series) Circular No.85 February 29, 2012 62 A.P.(DIR Series) Circular No.99 March 30, 2012 63 A.P.(DIR Series) Circular No.100 March 30, 2012 64 A.P.(DIR Series) Circular No.111 April 20, 2012 65 A.P.(DIR Series) Circular No.112 April 20, 2012 66 A.P.(DIR Series) Circular No.113 April 24, 2012 67 A.P.(DIR Series) Circular No.119 May 07, 2012 68 A.P.(DIR Series) Circular No.134 June 25, 2012 69 A.P.(DIR Series) Circular No.136 June 26, 2012 70 A.P.(DIR Series) Circular No. 1 July 5, 2012 71 A.P.(DIR Series) Circular No. 20 August 29, 2012 72 A.P.(DIR Series) Circular No.26 September 11, 2012 73 A.P.(DIR Series) Circular No.27 September 11, 2012 74 A.P.(DIR Series) Circular No.28 September 11, 2012 75 A.P.(DIR Seri....
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....IR Series) Circular No.21 August 27, 2014 120 A.P.(DIR Series) Circular No.25 September 03, 2014 121 A.P.(DIR Series) Circular No.39 November 21, 2014 122 A.P.(DIR Series) Circular No.41 November 25, 2014 123 A.P.(DIR Series) Circular No.55 January 01, 2015 124 A.P.(DIR Series) Circular No.56 January 06, 2015 125 A.P.(DIR Series) Circular No.64 January 23, 2015 126 A.P.(DIR Series) Circular No.108 June 11, 2015 127 A.P.(DIR Series) Circular No.109 June 11, 2015 128 A.P.(DIR Series) Circular No.13 September 10, 2015 129 A.P.(DIR Series) Circular No.17 September 29, 2015 130 A.P.(DIR Series) Circular No.32 November 30, 2015 131 A.P.(DIR Series) Circular No.56 March 30, 2016 132 A.P.(DIR Series) Circular No.60 April 13, 2016 133 A.P.(DIR Series) Circular No.80 June 30, 2016 134 A.P.(DIR Series) Circular No.10 October 20, 2016 135 A.P.(DIR Series) Circular No.13 October 27, 2016 136 A.P.(DIR Series) Circular No.14 November 03, 2016 137 A.P.(DIR Series) Circular No.15 November 07, 2016 138 A.P.(DIR Series) Circular No. 31 February 16, 2017 139 A.P.(DIR Series) Circular No. 47 June 7, 2017 140 A. P. (DIR Series) Circular No. ....
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....ency." 18Modified vide A.P. (DIR Series) Circular No.25 dated April 27, 2018. Prior to modification it read as "The maximum spread over the benchmark will be 500 basis points per annum." 19Modified vide A.P. (DIR Series) Circular No.25 dated April 27, 2018. Prior to modification it read as "The all-in-cost should be in line with the market conditions." 20Inserted vide A.P. (DIR Series) Circular No.25 dated April 27, 2018 21Deleted vide A.P. (DIR Series) Circular No.25 dated April 27, 2018 Prior to deletion it had the following table Track I Track II Track III i. ECB proceeds can be utilised for capital expenditure in the form of: * Import of capital goods including payment towards import of services, technical know-how and license fees, provided the same are part of these capital goods; * Local sourcing of capital goods; * New project; * Modernisation /expansion of existing units; * Overseas direct investment in Joint ventures (JV)/ Wholly owned subsidiaries (WOS); * Acquisition of shares of public sector undertakings at any stage of disinvestment under the disinvestment programme of the Government of India; * Refinancing of existing trade credit raised for im....
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....rket * Using the proceeds for equity investment domestically; * On-lending to other entities with any of the above objectives; * Purchase of land 22Inserted vide A.P.(DIR Series) Circular No. 56 dated March 30, 2016 23Deleted vide A.P. (DIR Series) Circular No.25 dated April 27, 2018 Deleted portion read as "For ECB raised under the automatic route," 24Modified vide A.P. (DIR Series) Circular No.25 dated April 27, 2018. Prior to modification it read as "four" 25Deleted vide A.P. (DIR Series) Circular No.25 dated April 27, 2018 Deleted portion read as "For ECB raised under the approval route, this ratio should not be more than 7:1." 26Inserted vide A.P.(DIR Series) Circular No. 56 dated March 30, 2016 27 Inserted vide A.P. (DIR Series) Circular No.11 dated November 6, 2018 28Inserted vide A.P.(DIR Series) Circular No. 15 dated November 7, 2016 29Inserted vide A.P. (DIR Series) Circular No. 10 dated October 20, 2016 30Modified vide AP (DIR Series) Circular No.10 dated October 20, 2016 prior to modification it read as "The foreign equity holding after such conversion of debt into equity is within the applicable sectoral cap" 31Point iv.v and vi Inserted vide A. P. (DIR....
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....d portion read as "The bonds shall have minimum maturity of three years" 50Inserted vide A.P.(DIR Series) Circular No 14 dated November 3, 2016 51Replaced vide A.P.(DIR Series) Circular No 60 dated April 13, 2016. Prior to the replacement it read as: "Any investor from a FATF compliant jurisdiction can invest in the bonds issued under the Framework." 52Inserted vide A. P. (DIR Series) Circular No. 31 dated February 16, 2017. 53Inserted vide A. P. (DIR Series) Circular No. 47 dated June 07, 2017 54Deleted the words "shall not have access to these bonds but" vide A.P.(DIR Series) Circular No 14 dated November 3, 2016 55Inserted vide A. P. (DIR Series) Circular No. 9 dated September 19, 2018 56 Deleted the words "In case of an Indian bank underwriting an issue, its holding cannot be more than 5 per cent of the issue size after 6 months of issue" vide A. P. (DIR Series) Circular No. 9 dated September 19, 2018 57Inserted vide A.P.(DIR Series) Circular No 14 dated November 3, 2016 58Inserted vide A. P. (DIR Series) Circular No. 47 dated June 07, 2017 59Modified vide A.P. (DIR Series) Circular No.25 dated April 27, 2018. Prior to modification it read as "300". 60Deleted vide A.....