RBI Revises FCNR(B) Inflows Upward to Nearly USD 133 Billion

The Reserve Bank of India (RBI) has revised upward the amount mobilised under its special Foreign Currency Non-Resident (FCNR-B) deposit scheme to USD 132.980 billion as of August 31, 2026, following a strong response from the Indian diaspora.

The latest RBI data showed that FCNR(B) deposits accounted for the bulk of the USD 143.596 billion raised through the special foreign exchange facility covering FCNR(B) deposits, Overseas Foreign Currency Borrowings (OFCBs) and External Commercial Borrowings (ECBs).

According to provisional data released on September 2, banks had reported FCNR(B) mobilisation of USD 127.226 billion. The revised figure, based on data reported by authorised dealer banks up to September 18, puts FCNR(B) inflows at nearly USD 133 billion.

The RBI launched the special USD-INR forex swap facility on June 8, 2026. The FCNR(B) window was initially scheduled to remain open until September 30, but the central bank advanced its closing date to August 31 after saying that the objective of the facility had been achieved ahead of schedule.

The latest data showed that OFCBs contributed USD 5.320 billion, while ECBs accounted for USD 5.296 billion, taking the combined inflows to USD 143.596 billion.

The strong mobilisation under FCNR(B) prompted the RBI to close that window a month earlier than originally planned. However, the facility for ECBs and OFCBs will remain available until December 31, 2026.

FCNR(B) deposits are fixed-term deposits maintained in foreign currencies by non-residents. The principal and interest are repaid in the same currency, helping depositors avoid direct exposure to rupee exchange-rate fluctuations.

The latest figures indicate the scale of demand for foreign-currency deposit instruments among non-residents and the strong response to the RBI's special forex facility.