The Reserve Bank of India has relaxed the external commercial borrowing (ECB) guidelines for developers/builders executing low-cost affordable housing projects. As per the central bank’s revised eligibility criteria, developers/builders with a minimum of three year’s experience (five-years prescribed earlier) in undertaking residential projects and having good track record in terms of quality and delivery can tap the ECB route. The aggregate limit for ECB under the low-cost affordable housing scheme has been extended for the financial years 2013-14 and 2014-15 with a ceiling of $ 1 billion in each of the two years. The condition of minimum paid-up capital of not less than Rs 50 crore, as per the latest audited balance-sheet, for Housing Finance Companies (HFCs) has been withdrawn. HFCs utilising ECBs have to ensure that the cost of individual units does not exceed Rs 30 lakh and the loan amount does not exceed Rs 25 lakh.