Current · Source: Reserve Bank of India · RBI/2008-09/411 · issued 13 Mar 2009 · ~1 min read
Quick answerRBI extends the deadline for completing FCCB buyback procedures from March 31, 2009 to December 31, 2009. All other terms from the December 8, 2008 circular remain unchanged. AD Category-I banks must inform customers.
The rule, in the simplest words
Indian companies have more time to buy back Foreign Currency Convertible Bonds (FCCBs) from March 31, 2009 to December 31, 2009.
AD Category-I banks must inform their customers about the extended deadline.
All other terms from the December 8, 2008 circular remain unchanged.
How it plays out — a real example
Mr. Kumar advises ABC Ltd to complete the buyback process by December 31, 2009, and reminds them to follow all other unchanged terms from the earlier circular. He also updates the company's records to reflect the new deadline, ensuring they avoid regulatory non-compliance. A forex & trade-finance officer in Indore, Mr. Kumar, helps an Indian company, ABC Ltd, to buy back FCCBs. He informs the company about the extended deadline and ensures they update their internal systems to reflect the new timeline.
What changed
The original deadline for Indian companies to complete the entire buyback or prepayment process for Foreign Currency Convertible Bonds (FCCBs) was March 31, 2009. This circular extends that deadline to December 31, 2009. No other terms or conditions from the earlier circular have been modified.
What it means for you
Indian companies now have an additional nine months to finalize FCCB buybacks, easing immediate compliance pressure. Banks acting as authorized dealers must update their internal timelines and advise clients accordingly. The extension provides breathing room for companies facing liquidity or procedural challenges.
What you must do
Update internal systems and client advisories to reflect the new December 31, 2009 deadline for FCCB buyback completion.
Inform all relevant corporate clients about the extended timeline and unchanged terms from the December 8, 2008 circular.
Ensure all buyback transactions are processed and documented by the revised deadline to avoid regulatory non-compliance.
Who it affects
AD Category-I banks handling FCCB buyback transactions, Indian companies with outstanding FCCBs eligible for buyback or prepayment, Corporate clients of AD Category-I banks involved in FCCB processes
❓ Common questions
What is the new deadline for completing FCCB buyback procedures?
The deadline has been extended from March 31, 2009 to December 31, 2009.
Are any other terms of the FCCB buyback changed?
No, all other terms and conditions from the December 8, 2008 circular remain unchanged.
Who is responsible for informing customers about this extension?
AD Category-I banks are required to bring the contents of this circular to the notice of their constituents and customers.
📜 Read the original circular — full text as issued by RBI
Attention of Authorized Dealer Category - I (AD Category - I) banks is invited to the A. P. (DIR Series) Circular No.39 dated December 08, 2008 on the captioned subject. In terms of Para 7 of the above circular, the entire procedure of buyback should be completed by the Indian Companies by March 31, 2009.
2. It has been decided to extend the date for completing the entire procedure for buyback of FCCBs from March 31, 2009 to December 31, 2009. Accordingly, the entire procedure of buyback should be completed by December 31, 2009.
3. All the other terms and conditions of buyback / prepayment of FCCBs as mentioned in A. P. (DIR Series) Circular No.39 dated December 08, 2008, shall remain unchanged.
4. AD Category - I banks may bring the contents of this circular to the notice of their constituents and customers concerned.
5. The directions contained in this circular have been issued under sections 10 (4) and 11 (1) of the Foreign Exchange Management Act, 1999 (42 of 1999) and is without prejudice to permissions / approvals, if any, required under any other law.
Reproduced for reference with acknowledgment — Source: Reserve Bank of India · RBI/2008-09/411 · issued 13 Mar 2009. The plain-English explanation above is BankPulse’s own independent summary.
Update internal systems and client advisories to reflect the new December 31, 2009 deadline for FCCB buyback completion.
📜 Compliance
Inform all relevant corporate clients about the extended timeline and unchanged terms from the December 8, 2008 circular.
Ensure all buyback transactions are processed and documented by the revised deadline to avoid regulatory non-compliance.
Grouped from the action items above — a single circular may involve more than one team.
Worked example & action-note template
Example: if you are an IT/Systems lead at a bank this circular applies to (AD Category-I banks handling FCCB buyback transactions, Indian companies with outstanding FCCBs eligible for buyback or prepayment, Corporate clients of AD Category-I banks involved in FCCB processes), your first concrete step on “FCCB Buyback Deadline Extended to Dec 31, 2009” is: “Update internal systems and client advisories to reflect the new December 31, 2009 deadline for FCCB buyback completion.” (RBI issued this 13 Mar 2009).
Circular: RBI/2008-09/411 -- FCCB Buyback Deadline Extended to Dec 31, 2009
Issued: 13 Mar 2009
Action required: Update internal systems and client advisories to reflect the new December 31, 2009 deadline for FCCB buyback completion.
Action required: Inform all relevant corporate clients about the extended timeline and unchanged terms from the December 8, 2008 circular.
Action required: Ensure all buyback transactions are processed and documented by the revised deadline to avoid regulatory non-compliance.
Owner: ____________ Target date: ____________
Board/committee approval needed? Y / N
Evidence filed in compliance register on: ____________
Built only from this circular’s own published fields — not legal advice; always confirm against the official RBI source.
💬 Banker Discussion
Discuss this circular with fellow bankers — reply, upvote what helps, report what doesn’t belong. Be professional; no client data. Views are the commenter’s own, not BankPulse’s.
BankPulse Compliance Evidence Pack — generated 05 Aug 2026 · status cross-checked against RBI’s official withdrawal register (refreshed weekly). Official RBI source: https://www.rbi.org.in/Scripts/NotificationUser.aspx?Id=4891&Mode=0 — Plain-English summary by BankPulse (bankpulse.ai), reviewed by our expert reviewer, CA Amit Jain. Independent platform, not affiliated with the Reserve Bank of India; is our own plain-English paraphrase, not RBI’s original wording.
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