INDIAN RAILWAY FINANCE CORPORATION LIMITED

egulatory authority as defined under the SEBI FII Regulations.Applications by NRIsWe propose to issue Bonds to Eligible NRIs on a repatriable as well as non-repatriable basis. Eligible NRIApplicants should note that only such Applications as are accompanied by payment in Indian Rupees only shallbe considered for Allotment. An Eligible NRI can apply for Bonds offered in the Issue subject to the conditionsand restrictions contained in the Foreign Exchange Management (Borrowing or Lending in Rupees)Regulations, 2000, and other applicable statutory and/or regulatory requirements including the interest raterequirement as provided in the CBDT Notification. Allotment of Bonds to Eligible NRIs shall be subject to theApplication Amounts paid by the NRI as described below:1. In case of Eligible NRIs applying on repatriation basis: The Application Amounts are to be paid eitherby inward remittance of freely convertible foreign exchange through normal banking channels i.e. throughrupee denominated demand drafts/cheques drawn on a bank in India or by transfer of funds held in theinvestor’s Non Resident External (“NRE”) Account/ Foreign Currency Non Resident (“FCNR”) Accountmaintained with an RBI authorised dealer or a RBI authorised bank in India.2. In case of Eligible NRIs applying on non-repatriation basis: The Application Amounts are to be paideither by inward remittance of freely convertible foreign exchange through normal banking channels i.e.through rupee denominated demand drafts/cheques drawn on a bank in India or by transfer of funds held inthe investor’s Non Resident Ordinary (“NRO”) account/ NRE Account/ FCNR Account/ Non Resident NonRepatriable (“NRNR”) Account/ Non Resident Special Rupee (“NRSR”) Account maintained with an RBIauthorised dealer or a RBI authorised bank in India.Applications by Eligible NRIs (applying either on a repatriation or a non-repatriation basis) should beaccompanied by (i) a bank certificate confirming that the demand draft in lieu of the Application Money hasbeen drawn on an NRE/ NRO/ FCNR/ NRNR/ NRSR account; and (ii) if such Eligible NRI is a Person ofIndian Origin (“PIO”), a PIO card.The Issuer does not make any representations and does not guarantee eligibility of any foreign investor,including, inter alia, FIIs and Eligible NRIs for investment into the Issue either on a repatriation basis oron a non-repatriation basis. All foreign Investors have to verify their eligibility and ensure compliancewith all relevant and applicable notifications issued by the RBI and extant guidelines as well as allrelevant and applicable guidelines, notifications and circulars issued by SEBI pertaining to theireligibility to invest in the Bonds at the stage of investment in every Tranche Issue, at the time ofremittance of their investment proceeds as well as at the time of disposal of the Bonds. The Issuer will notcheck or confirm eligibity of such investments in the Issue.Issue and Allotment of Bonds to NRI ApplicantsOur Company confirms that:(i) the rate of interest on each series of Bonds does not exceed the prime lending rate of the State Bank of Indiaas on the date on which the resolution approving the Issue was passed by our Board, plus 300 basis points;(ii) the period for redemption of each Series of Bonds will not be less than 3 years;(iii) we do not and shall not carry on agricultural /plantation /real estate business/ trading in TransferableDevelopment Rights and do not and shall not act as Nidhi or Chit Fund Company;(iv) We will file the following with the nearest office of the Reserve Bank of India, not later than 30 days fromthe date:(a) of receipt of remittance of consideration received from Eligible NRIs in connection with the Issue, fulldetails of the remittances received, namely:(i) a list containing names and addresses of each NRI Applicant who have remitted funds forinvestment in the Bonds on non-repatriation basis and repatriation basis;65