FCNR(B) inflows may have crossed 2013 level in just 45 days: SBI Research

FCNR(B) deposits raised under the RBI’s concessional swap facility have grown very quickly and may have already exceeded the amount collected during a similar scheme in 2013 within just 45 days. Because of this strong response, SBI Research has increased its estimate of total inflows to $65–70 billion, much higher than its earlier forecast. When combined with other foreign borrowings like OFCBs and ECBs, total inflows could reach $80–85 billion. RBI Governor Sanjay Malhotra stated that recent measures have already helped bring in around $32 billion, mainly through FCNR(B) deposits, while foreign investors have also invested over $7 billion in government bonds. These inflows are important as they help strengthen India’s balance of payments and support the stability of the rupee, especially during uncertain global economic conditions.