RBI reports $143.5 bn in forex swap inflows, FCNR(B) deposits near $133 bn

The Reserve Bank of India announced that its concessional forex swap window, operational since June 8, had attracted $143.5 bn in inflows by September 18. Nearly $133 bn of that amount came from FCNR(B) deposits, which were mobilised up to August 31 when the deposit window closed ahead of schedule. Overseas foreign currency borrowings and external commercial borrowings each added about $5.3 bn to the total.

Earlier RBI data on September 2 had placed FCNR(B) mobilisation just over $127 bn, indicating a rapid increase after banks were allowed to use the swap facility until September 11, 2026 for deposits made by the end of August. The strong response was driven by banks offering higher rates and, for some, leverage options for NRIs, pushing inflows well beyond market estimates of $90-100 bn. While the FCNR(B) window has closed, the swap facility remains open for OFCBs and ECBs until December 31.