RBI's Forex Swap Facility Draws $136B: $127B via FCNR (B) Deposits, Rupee Relief

RBI's Concessional Forex Swap Facility Mobilises $40.82 Billion by July 31, 2026

The RBI's concessional swap facility has attracted $40.82 billion in forex inflows by July 31, 2026, with FCNR(B) deposits accounting for the bulk ($36.725 billion). This facility was announced on June 5 to strengthen balance of payments and incentivize capital inflows amid global uncertainties.

RBI's Forex Swap Facility Attracts $136.3 Billion, Reserves at Record $729 Billion, Liquidity Surplus Rises

The RBI's measures to boost capital flows have massively exceeded expectations, with $136.3 billion in inflows through the forex swap facility, pushing forex reserves to a record $729 billion. However, this has created a liquidity surplus of Rs 6.7 lakh crore, complicating inflation management and looming rate hike decisions. This is critical for understanding India's external stability and the RBI's monetary policy challenges.

RBI Reports $72.85 Bn Forex Inflow via FCNR(B), ECB, OFCB Swap Facility by Aug 21, 2026

The RBI has generated $72.85 billion in forex inflows via a special USD-INR swap facility covering FCNR(B) deposits, ECBs, and OFCBs, introduced on June 8, 2026 to shore up reserves amid rupee depreciation caused by FPI outflows and high oil import bills. The scheme is open until August 31, 2026 for deposits and December 31, 2026 for borrowings.

RBI's Forex Swap Window Mobilises $72.85 Bn Inflows via FCNR(B) Deposits; Closed Aug 31

The RBI's special forex swap facility, aimed at boosting forex reserves and supporting the rupee amid pressure from the West Asia conflict and high crude oil prices, attracted $72.85 billion in fresh inflows by August 21. The overwhelming response led to its premature closure on August 31, with FCNR(B) deposits accounting for the bulk. This is a critical forex management tool for exams.

RBI Net Sells $14.9 Bn (Jan-May 2026) for Rupee Stability; FCNR(B) Swap, ECB Boost Inflows

RBI's net sale of $14.9 billion in the first five months of 2026 underscores its interventionist approach to curb excessive rupee volatility, a key topic for economy-focused exams. The accompanying measures like the FCNR(B) swap facility and ECB liberalisation are crucial for understanding forex management and capital inflows.

RBI Proactively Assists UCBs: On-tap Licensing, Gold Loan Limits Raised, Deposits ₹6 Lakh Crore

Union Cooperation Minister Amit Shah endorsed RBI's proactive support for urban cooperative banks, including on-tap licensing and raised gold loan limits. This signals a new era of cooperation between UCBs and the central bank, crucial for the sector's growth and financial inclusion.

Govt Proposes Gold Monetisation via Jewellers: 20,000 Tonne Idle Gold, Demat Deposits, Interest Income

The government is planning a new gold monetisation scheme where jewellers, not banks, will collect physical gold deposits from households, issue demat receipts, and pay interest. This aims to unlock over 20,000 tonnes of idle gold, improve India's trade balance, and reduce import dependence — a key reform for economic stability and current account management.

FM Urges RBI to Advance CBDC & Digital Rupee; India's First Tokenised Corporate Bond Pilot by REC

Finance Minister Nirmala Sitharaman urged RBI to accelerate CBDC and digital Rupee capabilities, highlighting the success of India's first tokenised corporate bond pilot by REC under SEBI's sandbox. This signals a major push towards tokenisation in financial markets, with implications for exam questions on digital currency, fintech regulation, and RBI-SEBI coordination.