When we work with MOSS 2007 and BDC we realize that to create BDC XML files is very complicated, a Intellisense for Visual Studio, would be welcome…
And that it is possible, thanks to Bdcmetadata.xsd file. This file is on the Bin repository generally: < Root>\Program Files\Microsoft Office Server\12.0\Bin
This is enough to point the SchemaReference attribute of the XML file to this XSD and on Visual Studio we will have Intellisense at your disposal.