India limits overseas borrowing
The central bank also said that companies repatriating more than $20 million of their foreign assets in a financial year, would need the central bank's permission to do so.
The Indian government is concerned that the strength of the rupee, which is now at a nine-year high against the dollar, is damaging export growth.
Kamal Nath, the jurisdiction's trade minister, said yesterday: ""The rupee appreciation has impacted exports. The government is seized of the matter as export is linked to employment to a large extent. The prime minister is also apprised of the matter."
The central bank said it would enforce the limits immediately. Other aspects of its external commercial borrowings policy will remain unchanged.
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