The Reserve Bank of India said on Thursday that overseas borrowings up to $20 million in a financial year will have a minimum average maturity of three years under the automatic approval route, the RBI said in a statement.

RBI

RBI

The bank said borrowings above $20 million and up to $750 million will have minimum average maturity of five years, it said.

Earlier in September, the RBI raised the amount corporates can borrow to $750 million in a financial year from $500 million previously.

The RBI said that eligible borrowers under the automatic route can raise overseas convertible bonds up to $750 million or equivalent per financial year.

Corporates in specified service sectors such as hospitals, hotels, and software can raise convertible bonds up to $200 million in a fiscal year as long as they do not use the proceeds for acquiring land, it said.