What is the Full form of ECB? ECB Meaning

ECB Full Form – External Commercial Borrowing or ECB is a type of loan facilitated in foreign currency in India. It is provided to those Indian borrowers who need access to foreign currency. ECBs are given by non-resident lenders. 


These loan facilities are carried out by foreign commercial banks, Indian corporations and PSUs (Public Sector Undertakings). Many departments regulate ECBs. They are the DEA or Department of Economics Affairs, RBI, Ministry of Finance, and the Government of India. There are many advantages of ECBs, not only for customers but for people providing the facility. 

Many corporations and PSUs use this facility as a source of investment. Borrowers can even use this money to repay their loans – even if the currency is INR (Indian Rupee). ECBs are of various types.

 They are commercial bank loans, buyers’ credit, suppliers’ credit, securitized instruments such as Floating Rate Notes and Fixed Rate Bonds etc., credit from official export credit agencies and commercial borrowings from Multilateral Financial Institutions. ECB is the most important type of foreign capital investment for India.