Learning Events at BCAS

1. FEMA Study Circle - Draft Borrowing and Lending Regulations Issued by RBI held on 17th October, 2025@ Virtual

The FEMA Study Circle organized a meeting on 17th October 2025 to deliberate on the Draft Borrowing and Lending Regulations issued by the RBI. The session was chaired by CA Natwar Thakrar and led by CA Smeet Naren Madlani.

The discussion covered several key aspects:

• Clarification on Eligibility Nexus
• Scope of the Term ‘Eligible Borrower’
• Use of ECB Proceeds for Acquisitions
• Ambiguity in Regulation 3A(f)(iii)
• Lenders from FATF/IOSCO Non-Compliant Jurisdictions
• Borrowing Limit – Period of Maintenance
• Currency of Borrowing
• Arm’s Length Pricing of Borrowings
• Credit of ECB Proceeds to FCY Accounts
• Applicability of Revised Parameters to Existing ECBs
• Reporting Requirements under Form ECB-2.