The Reserve Bank of India’s (RBI) proposed guidelines to revamp the external commercial borrowings (ECB) framework is likely to become a game changer in acquisition financing, believe bankers and analysts. However, banks added that further relaxation, in terms of an increase in acquisition financing limit from the proposed 10% of their Tier-1 capital to anywhere between 20%-40%, will help in funding bigger deals. “We are urging the RBI to reconsider the 10% cap, proposing a more flexible threshold of up to 40% of the bank’s net worth to accommodate larger transactions,” said a senior banker from a state-run bank. November 30 is the last date to submit suggestions on the proposed guidelines.