RBI mulls reopening FCNR(B) deposits to support falling rupee
The Reserve Bank of India (RBI) is thinking about reintroducing perks for nonresident Indian (NRI) deposits at its big meeting on April 8, 2026.
The goal? To give the struggling rupee a boost, since it's dropped nearly 10% in FY26 thanks to global tensions.
Experts say reopening the FCNR-B deposit option could attract much-needed foreign currency inflows from Indians living abroad.
NRI deposits down to $14.35B
NRI deposits fell by nearly 26% between April 2025 and January 2026, landing at $14.35 billion.
Money coming in through FCNR-B accounts took an even bigger hit (down from $7.02 billion to just $0.94 billion), with more than 40% of these funds usually coming from the United Arab Emirates.
RBI attracted nearly $30B in 2013
This isn't a new play for the RBI: it used a similar strategy back in 2013 and brought in nearly $30 billion by offering attractive terms on US dollar deposits, helping steady the rupee during tough times.