New Delhi, Feb. 16 -- The Reserve Bank of India has finalized amendments to its External Commercial Borrowing (ECB) framework, accepting several industry suggestions while retaining key safeguards around end-use, compliance and enforcement.

Among the major relaxations, the RBI has removed the requirement to maintain a "current account" to be eligible for becoming a designated authorized dealer (AD) bank. The RBI has clarified that acquisition of "control" is a permitted end-use of ECB funds.

It has also allowed RBI-regulated entities to use ECB funds for on-lending to individuals, although it has retained restrictions on the purposes for which such loans can be given.

However, the central bank has rejected the request to permit on-lend...