The Reserve Bank of India’s special USD-INR forex swap facility has attracted US$73 billion in foreign exchange inflows in under eleven weeks, with FCNR(B) deposits accounting for US$65.40 billion as of August 21, 2026.
Launched on June 8, 2026, the facility covers FCNR(B) deposits, Overseas Foreign Currency Borrowings and External Commercial Borrowings. Its response has led the RBI to move the FCNR(B) window’s closing date forward from September 30 to August 31, 2026.
Strong response from non-resident depositors
The inflows reflect strong participation by Non-Resident Indians, who directed savings into FCNR(B) deposits. The material describes the response as evidence of continued confidence in India’s banking system and economy, as well as the Indian diaspora’s economic and emotional connection with the country’s growth.
The total raised by August 21 came with another week remaining before the revised closing date. The facility’s reported pace and scale have been presented as exceeding expectations.
Larger than the 2013 mobilisation
The current exercise has surpassed the Reserve Bank of India’s 2013 FCNR(B) swap scheme, which raised about US$26 billion over roughly three months. The latest facility reached US$73 billion in under eleven weeks.
The government has described the mobilisation of long-term non-resident deposits and commercial institutional funding as a way to strengthen India’s external buffers with cost efficiency. The response was also linked to the Indian economy’s performance under Prime Minister Narendra Modi despite challenges in the global financial landscape.
