EXTERNAL COMMERCIAL BORROWINGS

 

Ø      External Commercial Borrowings ‑ Meaning of

Ø      Govt. Policy on ECB

Ø      FEMA Regulations

Ø      Persons Eligible to raise ECB

Ø      Sources of ECB

Ø      Purposes for which ECB can be raised

Ø      Period for which ECB can be raised

Ø      Modes of Raising ECB

Ø      Types of ECBs

-                      Borrowings from a Bank situated outside India

-                      Borrowing by an Importer in India

 

Ø      Limits for Borrowings under ECB Schemes

Ø      Borrowings by Special Economic Zone Units

Ø      Procedure for Raising ECB

Ø      Procedure for Raising ECB under Automatic Route

Ø      Procedure for Raising Other Foreign Currency Borrowings (not covered under Automatic Route)

Ø      General Permission to Keep Funds with a Bank Outside India

Ø      Guidelines on Policies and Procedures for External Commercial Borrowings for 1999‑2000

Ø      ECB Policy

    Average Maturities for ECB

-          USD 5 Million Scheme

-          Exporters/Foreign Exchange Earners

-          Infrastructure Projects

-          Long‑Term Borrowers

-          On‑lending by DFIs and Other Financial Intermediaries

-          End‑use Requirements

-          Proceeds from Bonds, FRNs & Syndicated Loan

-          ECB Entitlement for New Projects

-          Interest Rate for Project Financing

-          Structured Obligations

-          Other Terms and Conditions

-          Security

-          Exemption from Withholding Tax

-          Approval under FERA

-          Short‑Term Loan from RBI

-          Validity of Approval

-          Pre‑payment of ECB

-          Refinancing the Existing Foreign Currency Loan

-          Liability Management

 

Ø      Procedure for Seeking ECB Approval

Ø      ECB Guidelines ‑ Modifications Issued in February, 2000

Ø      ECB Guidelines ‑ Modifications Issued in June, 2000

Ø      ECB Guidelines ‑ Modifications Issued in September, 2000

Ø      ECB Guidelines ‑ Modifications Issued in July, 2002

Ø      ECB Guidelines ‑ Modifications Issued in September, 2002

Ø      ECB Guidelines ‑ Modifications Issued in November, 2003

Ø      ECB Norms Relaxed to rope in more Investment in Core Sector

Ø      Text of Foreign Exchange Management (Borrowing or Lending in Foreign Exchange) Regulations, 2000

 

Appendix 11.I  :  Form ECB :Application for permission to raise External Commercial Borrowings under Short Term Loan/Credit/USD 5/10 million Scheme

Appendix 11.II : ECB 2: Details of Actual Transactions of Foreign Currency Loans/Financial    Lease (Other Than         Short‑term Foreign Currency Loans)

Appendix 11.III : ECB 5 : Statement Showing Drawals, Utilisation, Repayment and Outstandings of  Short‑term   Foreign Currency Loan/Credit for the Month ended

Appendix 11.IV : Format for Providing Information to Department of Economic Affairs, Ministry of Finance for  Seeking ECB Approval