Indian banks mobilize $127.226 billion via RBI FCNR(B) scheme
Indian banks just pulled in a massive $127.226 billion through the RBI's special FCNR(B) deposit scheme, running from June to August this year.
That's way above the initially anticipated amount of $80 billion to $100 billion, thanks to tempting interest rates (6% to 7.5%) and extra perks for nonresident Indians (NRIs).
Banks offered 450bps, waived CRR SLR
The last 10 days alone brought in nearly half the total, as banks offered rates up to 450 basis points higher than usual and skipped requirements like CRR and SLR.
For big deposits ($1 million or more), some banks even gave leverage up to 19 times.
This record-breaking run is part of RBI's broader foreign exchange swap plan, which raised a total of $136.377 billion, while the $127.226 billion FCNR(B) mobilization was nearly four times 2013 levels.