Most of the funding is through the external commercial borrowing (ECB) route from related parties. Till PN3 regulations came into force, these entities funded Indian operations through equity capital. PN3 regulations effective 2020 barred foreign direct investment (FDI) through the automatic route for companies headquartered in neighbouring countries such as China.
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Great wall of Indian regulation bars China electronics cos’ path to funding
Great wall of Indian regulation bars China electronics cos’ path to funding
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