The Reserve Bank of India introduced a special foreign exchange swap facility on June 8, 2026, to attract deposits from Non-Resident Indians and overseas borrowing. Banks and financial institutions have pulled in 73 billion US dollars through this window in just eleven weeks, marking India’s largest and fastest foreign currency mobilisation effort to date.
What the scheme brought in
The swap facility was designed to accept Foreign Currency Non-Resident deposits, known as FCNR(B), as well as Overseas Foreign Currency Borrowings and External Commercial Borrowings from institutional sources abroad. By August 21, 2026, the total inflow reached 73 billion US dollars. Of this, FCNR(B) deposits from Non-Resident Indians alone accounted for 65.40 billion US dollars.
The response proved so strong that the RBI decided to close the FCNR(B) window early, on August 31, 2026, rather than wait until September 30. This acceleration reflected that the scheme had already achieved its objectives ahead of schedule.
To put the scale in perspective, the RBI’s previous major forex mobilisation exercise in 2013 had raised about 26 billion US dollars over roughly three months. The current facility has collected nearly three times that amount in a shorter timeframe.
What this means for you
India’s external reserves have been significantly strengthened through long-term foreign deposits and institutional borrowing, improving the country’s financial buffers against global economic uncertainty. For Non-Resident Indians, the strong response signals that overseas investors remain confident in India’s banking system and economic prospects. The government has secured this funding at lower cost through the swap mechanism rather than other means. Ordinary citizens may indirectly benefit from improved exchange rate stability and reduced pressure on the rupee as India’s forex reserves grow.