*Dual Currency ECBs Explained | FCY and INR Options – Powered by Taxmann.com | Practice* #taxmannpractice External Commercial Borrowings (ECBs) refer to funds raised by an eligible resident entity from overseas sources in accordance with the framework set by the Reserve Bank of India (RBI) in consultation with the Government of India. ECBs may be denominated in either INR or foreign currency. 𝐊𝐞𝐲 𝐓𝐚𝐤𝐞𝐚𝐰𝐚𝐲𝐬: ‣ 𝐄𝐥𝐢𝐠𝐢𝐛𝐢𝐥𝐢𝐭𝐲 𝐚𝐧𝐝 𝐂𝐨𝐦𝐩𝐥𝐢𝐚𝐧𝐜𝐞 – Eligible borrowers can secure both FCY and INR-denominated ECBs concurrently, provided they adhere to the specific RBI guidelines for each currency type ‣ 𝐀𝐠𝐠𝐫𝐞𝐠𝐚𝐭𝐞 𝐁𝐨𝐫𝐫𝐨𝐰𝐢𝐧𝐠 𝐋𝐢𝐦𝐢𝐭 – The total ECBs raised in a financial year, irrespective of denomination, must not exceed the prescribed individual limit of up to USD 750 million (or its equivalent) under the automatic route For detailed guidelines on External Commercial Borrowings under FEMA, visit: https://taxmann.social/UaJCZ 𝘛𝘩𝘪𝘴 𝘤𝘰𝘯𝘵𝘦𝘯𝘵 𝘪𝘴 𝘣𝘳𝘰𝘶𝘨𝘩𝘵 𝘵𝘰 𝘺𝘰𝘶 𝘣𝘺 𝘛𝘢𝘹𝘮𝘢𝘯𝘯.𝘤𝘰𝘮 | 𝘗𝘳𝘢𝘤𝘵𝘪𝘤𝘦 #taxmannupdates #fema #ecb #limit #foreigncurrency