India cbank eases rules for External Commercial Borrowing in Rupees
MUMBAI, Sept 3
MUMBAI, Sept 3 (Reuters) - India's central bank said it has revised its External Commercial Borrowing (ECB) rules to allow foreign lenders to issue rupee-denominated loans to Indian companies overseas.
The Reserve Bank of India (RBI) said it will allow foreign banks to issue rupee ECBs as long as they mobilise the currency through swap arrangements with an Indian bank.
The all-in cost of the ECB loan issued under the relaxed scheme should be in line with market conditions, and the loan contract will have to comply with all existing rules, RBI said. (Reporting by Himank Sharma)