RBL Bank Mops Up USD 3.4 Billion From FCNR Deposits

New Delhi: Private sector lender RBL Bank on Wednesday said it has garnered USD 3.4 billion from foreign currency non-resident bank (FCNR-B) deposits up to August 31, the closure date of the concessional swap facility.

“Pursuant to Reserve Bank of India’s swap facility for FCNR (B) deposits up to August 31, 2026, the deposit mobilisation by RBL Bank is USD 3.4 billion,” the bank said in a regulatory filing.

Loans provided by the international banking unit of the bank against such deposits stand at USD 1.08 billion, it said.

The deposit mobilisation was also supported by the bank’s promoter, Emirates NBD and their subsidiaries/affiliates, leveraging the strong UAE and India corridor, it added.

Under the FCNR (B) scheme, banks offer attractive interest rates to mobilise foreign currency deposits. These are foreign currency-denominated fixed deposits and both the principal and interest are repayable in the same foreign currency.

India attracted a whopping USD 127.23 billion in FCNR (B) deposits under the Reserve Bank of India’s (RBI) special USD-INR forex swap facility till August 31, the closing date, which was advanced by a month following a robust response from the Indian diaspora.

The RBI’s special USD-INR forex swap facility for FCNR (B) deposits, Overseas Foreign Currency Borrowings (OFCB) and External Commercial Borrowings (ECBs) was launched on June 8 to attract foreign capital to stem the fall in the rupee against the dollar.

(Disclaimer: Except for the headline, this article has not been edited by HDFC Sky editorial team and is auto-generated from PTI feed.)