External commercial borrowings are loans made to the Indian borrowers by non-resident lenders in convertible foreign exchange. It’s an instrument through which Indian borrowers avail loans from a foreign entity or from foreign sources.
It may be in form of commercial loans in the form of bank loans, seller loans, manufacturer loans, securitized securities (e.g. floating rate notes and fixed-rate bonds, non-convertible, partly convertible, or partially convertible preferred shares) from non-resident borrowers with a minimum average maturity of 3 years.
Indian companies are permitted to use the ECB either for fresh investment or to extend capacity. The generated funds can not be used for the following purpose:-
➲ Real estate investments
➲ Capital market investment.
➲ for Working capital uses, except for foreign equity holder
➲ or General corporate uses
➲ Loan repayment (of home country)
➲ Lending to other entity for the above activity
ECB can be granted through :
➲ Automatic route
➲ Approval route
Particulars |
Form |
Reported to |
The Time duration of reporting |
Under both route loan allotment number |
Form 83(in duplicate certified by Secretary of the Company or Chartered Accountant) No need to submit a loan agreement |
Designated authorized dealer bank |
Within 7 days from the signing of the loan agreement |
Monthly return |
Form ECB2 (along with CA certificate) regarding use of ECB |
Designated AD Bank to Division of Statistical Analysis and Computer Services (DESACS), Division of Balance of Payments Statistics, RBI. |
Within 7 days from the end of each month |
Under approval route ECB application |
Form ECB |
Designated AD bank to the Chief Manager-in-Charge, Department of Foreign Exchange, RBI, Division of Central Office ECBs, Mumbai. |
|
In case of the full conversion of ECB into equity |
FC-GPR |
RBI regional office |
Within 7 days form the closer of the month for which it relates |
In case of partial conversion of ECB |
FC-GPR for converted portion and for remaining ECB-2 |
Department of Statistics and Information Management (DSIM), RBI |
Within 7 days form the closer of the month for which it relates |
Changes in ➲Repayment schedule ➲Currency of borrowing ➲AD bank ➲Change in name of the borrower company ➲Recognized lender ➲Cancellation of LRN ➲Change in end-use of ECB ➲Reduction in the amount of ECB ➲Reduction in all cost of ECB
|
Form 83 |
To DSIM, RBI through AD bank Prior approval of AD bank is necessary |
Within 7 days from the date of change effect |
Call or WhatsApp us on +91-99991-39391 for free consultation from our team of experts. You can also email us on reach@corpzo.com.
We share the detailed and reasonable estimated costs, documents and prerequisites for the complete process before starting the process to ensure transparency.
Our team warrants hassle free documentation. We collect the necessary documents and share the relevant drafts to ensure a timely filing and delivery.
Upon collecting the necessary documents and information, we waste no time in preparation and filing of your application. development on your application is brought to your attention.
On successful completion of the case we share all the relevant documents electronically and physically along with an assurance to pay you back if something is wrong.
Regulation of medical devices and their quality systems in India was limited compared with other developed nations that typically have very robust approval systems for medical devices in place.
Read MoreOne of the world's leading food protection and quality control programs, the SQF (Safe Quality Food) program which is developed to meet the needs of retailers and suppliers around the world. SQF offers independent certification that a product, process,
Read MoreFood safety is a regular concern not only for consumers but for every food industry stakeholder as well. Feed safety is equally important for animal products, especially in the light of the various food scandals that have occurred in the past years. The E
Read MoreThe National Health Authorities grant this CoPP certificate upon request from the consumer, the authorities, or the drug supplier in the importing country. This certificate refers to a particular product whether or not it is sold in the country of origin
Read MoreHallmarking is a way of preserving the buyers' interest. BIS Hallmark is a device that lets you assess the pureness of the country's gold and silver gems. It is a certification issued by India's national quality organization Bureau of Indian Standards (BI
Read MoreExternal commercial borrowings are loans made to the Indian borrowers by non-resident lenders in convertible foreign exchange. It’s an instrument through which Indian borrowers avail loans from a foreign entity or from foreign sources.
Read MoreDRDO is the Ministry of Defense's R&D department, Govt of India, with a vision to empower India with state-of-the-art weapons systems and a mission to achieve self-reliance on critical defense technology and systems, while equipping our armed forces
Read MoreBIS is a national body that ensures the quality, safety, and reliability of Indian goods. BIS is intended to analyze product samples while they are in the preliminary and surveillance stages. India has 8 centre, 4 regional, and 3 BIS branch laboratories
Read MoreIn India, a non-profit organization GS1 which is the organization of ministry of commerce and industry manages and standardizes barcode. It was established in 1996. GS1 sets standards and manages the barcode standard used by retailers, manufacturers, and
Read MoreGood Manufacturing Practice (GMP) Is a manufacturing and testing process which helps to ensure a product of quality. GMP guidelines are not prescriptive instructions for how to manufacture goods. There are a set of general concepts that have to be followe
Read MoreThe National Organic Program (NOP) is a federal legislative system for organic food in the United States of America. It is also named after the United States Department of Agriculture (USDA) Agricultural Marketing Service (AMS) system responsible for the
Read MoreTEC stands for Telecommunication Engineering Center. TEC facilitates the development and enforcement of various standards and policies by the Department of Telecommunications, Government of India, for the safe and efficient use of emerging telecommunicati
Read MoreThe Agricultural & Processed Food Products Export Development Authority (APEDA) is a government agency founded in 1985 to develop and facilitate the export of scheduled goods. It offers financial support, information and advice on the production
Read MoreSITRA stand for South India Textile Research Association, established in 1956 is governed by a council administration consisting of member representative of the industry, government and scientists.
Read MoreThe WPC (Wireless Planning & Coordination) is a division of communications and information technology ministry, telecommunications department, India. Wireless Planning & Coordination involves the planning, managing, and monitoring of radiofrequency and ge
Read MoreBespoke advisory focused on mission critical legal, financial and business aspects.
Uniquely repurpose strategic core competencies with progressive content. Assertively transition ethical imperatives and collaborative manufactured products.
Write About UsProfessional and trusted service, my company needed certification from the state excise in the State of Telangana and CORPZo were so professional in their approach, be it filing of part 3 and 4 of MSME or application process with the state exice that it made my life easy.
Will always look to a team which is knowledgeable particularly when it comes to the field of alternative medicine. I had spoken to many including the government offices but was confused how to proceed with setting up of my pharma unit, CORPZo had the right professional guidance available.
They believe in transparency in business and give high regard to Customer Satisfaction. Love to work with them and Highly Recommended
I needed to apply for business related registration and receive some certificates. Their service is very professional. I researched in the market and found that they are very cost effective, so initially I was a bit doubtful, but, for my surprise, they are better than some of the big house.
Awesome and excellent services provided to me. Great and polite gestures with full professional behavior . Have got my company incorporated by corpzo. It was done within a week and have been using their accounting services ever since. They have been a real boost to my business.
© 2023 Corpzo Ventures Private Limited.