Document title: Reporting of FCNR(B) Deposits, External Commercial Borrowings (ECBs) and Overseas Foreign Currency Borrowings (OFCBs) mobilized under Reserve Bank's Swap Facility
Issuing authority: Reserve Bank of India
Reference number: Press Release: 2026-2027/720
Date: Not specified
Macro Outlook
RBI states the swap facility is intended to strengthen the balance of payments and incentivise capital inflows.
External Sector and Currency
The facility, announced on 5 June 2026 and operational from 8 June 2026, allows concessional swaps for fresh FCNR(B) deposits, OFCBs and ECBs. Eligibility for FCNR(B) deposits extends to 30 September 2026, while OFCBs and ECBs are eligible until 31 December 2026. Based on data from authorised dealer banks, foreign exchange inflows mobilised under the facility up to 17 July 2026 are: FCNR(B) deposits $17,406 million, OFCBs $1,970 million, ECBs $1,342 million, total $20,718 million.
Regulatory and Policy Measures
The RBI introduced the swap facility to provide a mechanism for converting foreign currency inflows into rupee funding at concessional rates, thereby supporting external sector stability. The press release is signed by Chief General Manager Brij Raj.
The facility has attracted significant foreign currency inflows within a short period, reflecting market interest in the concessional swap mechanism and contributing to the balance of payments objective.