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I have taken the following from the analysis of credit policy done by banknetindia.com. You can check out the detailed analysis at Credit Policy Special.
"Restoration of the EEFC accounts will help exporters to save transaction costs, but they will not able to take advantage of keeping their dollar proceeds abroad to speculate on the exchange rate as the funds would be kept in a non-interest bearing current account. Exporters also will not be allowed to raise bank loans using the foreign exchange as collateral. Considering the holding cost it would not make much business sense for exporters to maintain large balances in EEFC unless the markets are volatile and expected depreciation of INR exchange rate can compensate for the opportunity cost."
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