With a view to providing greater flexibility for structuring of ECB arrangements, it has been decided that recognised non-resident ECB lenders may extend loans in Indian Rupees subject to the following conditions:
- The lender should mobilise Indian Rupees through swaps undertaken with an Authorised Dealer Category-I bank in India.
- The ECB contract should comply with all other conditions applicable to the automatic and approval routes as the case may be.
- The all-in-cost of such ECBs should be commensurate with prevailing market conditions
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