1. Companies in manufacturing and software development sectors.
2. Shipping and airlines companies.
3. Small Industries Development Bank of India (SIDBI).
4. Units in Special Economic Zones (SEZs).
5. Export Import Bank of India (Exim Bank) (only under the approval route).

1. All entities listed under Track I.

1. All entities listed under Track II.
2. All Non-Banking Financial Companies (NBFCs) 10coming under the regulatory purview of the Reserve Bank.
3. NBFCs-Micro Finance Institutions (NBFCs-MFIs), Not for Profit companies registered under the Companies Act, 1956/2013, Societies, trusts and cooperatives (registered under the Societies Registration Act, 1860, Indian Trust Act, 1882 and State-level Cooperative Acts/Multi-level Cooperative Act/State-level mutually aided Cooperative Acts respectively), Non-Government Organisations (NGOs) which are engaged in micro finance activities1.
4. Companies engaged in miscellaneous services viz. research and development (R&D), training (other than educational institutes), companies supporting infrastructure, companies providing logistics services.

1. International banks.
2. International capital markets.
3. Multilateral financial institutions (such as, IFC, ADB, etc.) / regional financial institutions and Government owned (either wholly or partially) financial institutions.
4. Export credit agencies.
5. Suppliers of equipment.
6. Foreign equity holders.
7. Overseas long term investors such as:
   1. Prudentially regulated financial entities;
   2. Pension funds;
   3. Insurance companies;
   4. Sovereign Wealth Funds;
   5. Financial institutions located in International Financial Services Centres in India

1. All entities listed under Track I but for overseas branches / subsidiaries of Indian banks.

1. All entities listed under Track I but for overseas branches / subsidiaries of Indian banks. In case of NBFCs-MFIs, other eligible MFIs, not for profit companies and NGOs, ECB can also be availed from overseas organisations3 and individuals4.

ECB proceeds can be utilised for capital expenditure in the form of:

Import of capital goods including payment towards import of services, technical know-how and license fees, provided the same are part of these capital goods; Local sourcing of capital goods; New project; Modernisation /expansion of existing units; Overseas direct investment in Joint ventures (JV)/ Wholly owned subsidiaries (WOS); Acquisition of shares of public sector undertakings at any stage of disinvestment under the disinvestment programme of the Government of India; Refinancing of existing trade credit raised for import of capital goods; Payment of capital goods already shipped / imported but unpaid; Refinancing of existing ECB provided the residual maturity is not reduced.

SIDBI can raise ECB only for the purpose of on-lending to the borrowers in the Micro, Small and Medium Enterprises (MSME sector), where MSME sector is as defined under the MSME Development Act, 2006, as amended from time to time5.

Units of SEZs can raise ECB only for their own requirements5.Shipping and airlines companies can raise ECB only for import of vessels and aircrafts respectively5.

ECB proceeds can be used for general corporate purpose (including working capital) provided the ECB is raised from the direct / indirect equity holder or from a group company for a minimum average maturity of 5 years.

11NBFC-IFCs and NBFCs-AFCs can raise ECB only for financing infrastructure.
12Holding Companies and CICs shall use ECB proceeds only for on-lending to infrastructure Special Purpose Vehicles (SPVs).
ECBs for the following purposes will be considered only under the approval route5:
Import of second hand goods as per the Director General of Foreign Trade (DGFT) guidelines;
On-lending by Exim Bank.

1. The ECB proceeds can be used for all purposes excluding the following:

1. Real estate activities
2. Investing in capital market
3. Using the proceeds for equity investment domestically;
4. On-lending to other entities with any of the above objectives;
5. Purchase of land

NBFCs can use ECB proceeds only for:

14On-lending for any activities, including infrastructure sector as permitted by the concerned regulatory department of RBI;
providing hypothecated loans to domestic entities for acquisition of capital goods/equipment; and providing capital goods/equipment to domestic entities by way of lease and hire-purchases

2. Developers of SEZs/ NMIZs can raise ECB only for providing infrastructure facilities within SEZ/ NMIZ.

3. NBFCs-MFI, other eligible MFIs, NGOs and not for profit companies registered under the Companies Act, 1956/2013 can raise ECB only for on-lending to self-help groups or for micro-credit or for bonafide micro finance activity including capacity building.

4. For other eligible entities under this track, the ECB proceeds can be used for all purposes excluding the following:

Real estate activities Investing in capital market Using the proceeds for equity investment domestically; On-lending to other entities with any of the above objectives; Purchase of land