RBI's forex swap facility mobilises $72.85 billion, FCNR(B) deposits lead
RBI's special USD-INR swap facility has mobilised $72.85 billion in forex inflows, with FCNR(B) deposits contributing $65.4 billion.
The Reserve Bank of India's (RBI) special USD-INR swap facility has mobilised $72.85 billion in foreign currency inflows as of August 21, according to data released by the central bank on Saturday.
The bulk of the funds came through Foreign Currency Non-Resident (Bank) [FCNR(B)] deposits, which accounted for $65.397 billion. Overseas foreign currency borrowings (OFCBs) contributed $4.86 billion, while external commercial borrowings (ECBs) added $2.591 billion.
The facility, introduced on June 8, was designed to channel foreign currency inflows through these three routes and strengthen the availability of foreign exchange in the domestic financial system.
FCNR(B) deposits have emerged as the dominant source, contributing nearly 90 per cent of the total inflows. Combined inflows from OFCBs and ECBs stood at approximately $7.45 billion.
The window for FCNR(B) deposits under the scheme remains open until August 31, while the facility for ECBs and OFCBs will be available until December 31.
The strong mobilisation underscores the response from banks and overseas depositors ahead of the FCNR(B) deadline, with the central bank's framework providing a structured channel for foreign currency inflows.