The Reserve Bank of India has allowed companies to continue to buy back foreign currency convertible bonds (FCCBs) under the approval route.

The central bank will consider proposals from Indian companies for buyback of FCCBs, if the buyback value is at a minimum discount of 5 percent on the accreted value, it said in a statement.

The buyback scheme would lapse after March 31, the RBI.

Indian companies face convertible bond redemptions of nearly $5.5 billion this year. A sharp economic and corporate growth slowdown, weakening of the rupee that hit record lows last month and a plunge in stock values have made the debt obligation very costly for some companies.