The RBI on Wednesday tightened norms for corporates looking to raise funds by issuing rupee-denominated bonds, commonly known as masala bonds, in the overseas market. All proposals for issuing masala bonds will now require the central bank’s approval and will be examined at its foreign exchange department, the RBI said in a notification. The minimum original maturity period for masala bonds raised up to $50 million equivalent in rupees per financial year should be three years, the RBI said. For bonds raised above $50 million equivalent in rupees, the original maturity period should be five years. Earlier, the minimum maturity period was five years. The all-in-cost ceiling for such bonds would be 300 basis points over the prevailing yield of the government of India securities of corresponding maturity, the RBI said.