RBI Launches Dollar-Rupee Swap Facility to Boost FCNR Deposits and Inflows

The RBI has launched a dollar-rupee swap facility for fresh FCNR(B) deposits, allowing banks to swap US dollars with the central bank at a par rate, eliminating hedging costs. Available for new three-to-five-year deposits mobilised through September 30, 2026, the measure is paired with CRR/SLR exemptions and a concessional ECB swap window. Economists estimate the package could attract $30–50 billion in foreign currency inflows.