External commercial borrowings

Rohit Mujumdar (AGM - Treasury) (31 Points)

13 June 2010  

Dear Colleagues

Pls advise :-

In case of external commercial borrowings is it absolute neccessary that a one to one co-relation between ecb money inflow and capex outflow has to be shown. OR is suffices if for the financial year i can demonstrate a broad reconciliation as regarding

Money recd - Capex expenses from Money recd date = Funds in hand in deposits/current accounts etc.

I think broad reconciliation is enough and that it is not at all neccessary to have an absolute one to one co-relation between ecb money recd and capex spent.

Pls advise

Rohit Mujumdar