External Commercial Borrowing

Borrowings raised by eligible Indian entities from recognised non-resident entities under RBI's ECB Framework. Used for permitted end-uses like new projects, import of capital goods, and refinancing of rupee loans. Subject to all-in cost ceilings.

External Commercial Borrowing is governed by the Reserve Bank of India under applicable banking and monetary policy frameworks. Understanding this concept is essential for ensuring regulatory compliance, avoiding penalties, and making informed corporate decisions in India.

External Commercial Borrowing is relevant for company secretaries, compliance officers, chartered accountants, corporate lawyers, board members, and all professionals dealing with RBI regulatory matters in India.