The Reserve Bank of India on 28th July 2022, has published the Foreign Exchange Management (Borrowing and Lending) (Third Amendment) Regulations, 2022 to further amend the Foreign Exchange Management (Borrowing and Lending) Regulations, 2018.
Through this amendment, RBI has temporarily increased the borrowing limit of USD 750 million or equivalent per financial year to USD 1500 million or equivalent.
As per the amendment, a new para 8A under Schedule 1 which specifies “Individual Limits of borrowing” has been notified as follows:
The limit of USD 750 million or equivalent per financial year is temporarily increased to USD 1500 million or equivalent. This dispensation will be available for ECBs raised till December 31, 2022.
