RBI Forex Swap Attracts $72.85B Inflows
By Market Desk
RBI’s special USD-INR forex swap facility secured $72.85 billion in inflows by Aug 21, 2026, primarily through FCNR(B) deposits, boosting India’s foreign currency reserves.
The Reserve Bank of India’s special USD-INR forex swap facility has successfully attracted a total of $72.85 billion in foreign currency inflows as of August 21, 2026. This initiative, launched on June 8, 2026, aims to channel crucial foreign currency into the Indian economy through specified avenues.
The facility leverages three primary mechanisms for these inflows: Foreign Currency Non-Resident (Bank) or FCNR(B) deposits, External Commercial Borrowings (ECBs), and Overseas Foreign Currency Borrowings (OFCBs).
Contribution Breakdown by Avenue
- Foreign Currency Non-Resident (Bank) deposits (FCNR(B)) contributed $65.40 billion.
- Overseas Foreign Currency Borrowings (OFCBs) added $4.86 billion.
- External Commercial Borrowings (ECBs) accounted for $2.59 billion.
FCNR(B) deposits emerged as the dominant source, representing nearly 90% of the total inflows recorded under this special facility.
Key Deadlines for Inflow Instruments
The eligibility periods for these instruments vary, guiding their uptake and impact on overall inflows.
- FCNR(B) deposits under this facility have a deadline of August 31, 2026.
- Both ECBs and OFCBs will remain eligible for channeling funds through this swap facility until December 31, 2026.
These structured deadlines ensure a phased approach to foreign currency absorption, with the RBI’s facility playing a significant role in managing India’s forex liquidity.