RBI includes more segments under infra definition for ECB

MUMBAI: The Reserve Bank today expanded the definition of infrastructure sector for raising funds through external commercial borrowings (ECBs).

Taking into account the harmonised master list of infrastructure sub-sectors, it has been decided to expand the existing definition for infrastructure sector for the purpose of availing ECBs, RBI said in a notification.

As per the liberalised definition, energy sector would include electricity generation, electricity transmission, electricity distribution and oil pipelines, it said.

With regard to communications, the central bank said that mobile telephony services or companies providing cellular services, fixed network telecom and telecom towers will fall under the infrastructure definition and would be eligible to borrow fund through ECB window.

Water and sanitation sector will include water supply pipelines, solid waste management, water treatment plants and sewage projects.

Hospitals will include medical colleges and para medical training institutes.

The hotel sector will include hotels with fixed capital investment of Rs 200 crore and above; convention centres with fixed capital investment of Rs 300 crore and above, and three star or higher category classified hotels located outside cities with population of more than 1 million (fixed capital investment is excluding of land value).

Mining, exploration and refining are also part of the expanded infrastructure definition.

RBI clarified, however, that all other aspects of ECB policy will remain unchanged.