RBI’s Special Swap Facility Attracts $40.8 Billion in Foreign Inflows by End of July
Foreign currency inflows under the Reserve Bank of India’s (RBI) special swap facility surged to $40.816 billion by July 31, nearly doubling from $20.718 billion on July 17. The increase is primarily attributed to Foreign Currency Non-Resident (Bank) [FCNR(B)] deposits, which accounted for the majority of the funds mobilized under this concessional swap scheme. According to the latest RBI data, these deposits contributed $36.725 billion, representing about 90% of the total inflows.
The RBI’s data, sourced from Authorised Dealer Banks, shows that the total inflows under the scheme rose by $20.098 billion, or approximately 97%, within the two-week period. FCNR(B) deposits alone saw an increase of $19.319 billion, climbing from $17.406 billion to $36.725 billion. Inflows from Overseas Foreign Currency Borrowings (OFCBs) rose by $605 million, while External Commercial Borrowings (ECBs) added $174 million during the same timeframe.
Facility to Remain Open Until Year-End
The RBI introduced the concessional swap facility on June 5, 2026, as part of measures to bolster India’s balance of payments and attract capital inflows. The facility became operational on June 8, 2026. Under the current schedule, the special window for fresh FCNR(B) deposits will remain open until September 30, 2026, while concessional swaps for OFCBs and ECBs will continue until December 31, 2026. The RBI aims to strengthen the country’s external sector position and support foreign exchange liquidity amid global market uncertainties. Initial estimates suggested the scheme could mobilize as much as $70 billion in foreign exchange.
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