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RBI New Dollar Swap Window (Check Deadline and Important Details)

Takendra Verma
Last updated: 24/08/2026 11:52 AM
Takendra Verma
Published: 24/08/2026
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The Reserve Bank of India (RBI) has mobilised a massive $72.85 billion in foreign currency through its special facility.

Contents
FCNR(B) Deposits Are the Biggest ContributorWhat Are FCNR(B) Deposits?How Does RBI’s Dollar-Rupee Swap Facility Work?FCNR(B) Window Ends on August 31Why Is This Important?

A major part of this money has come through FCNR(B) deposits, which alone contributed $65.397 billion.

This accounts for nearly 90% of the total foreign currency mobilised under the special arrangement.

The latest figures show how important non-resident deposits have become for bringing foreign currency into India, especially when global currency markets and the rupee remain under pressure.

FCNR(B) Deposits Are the Biggest Contributor

According to RBI data, banks raised $65.397 billion through FCNR(B) deposits under the special swap arrangement.

Other sources also contributed to the total amount.

Banks raised around $4.86 billion through Overseas Foreign Currency Borrowings (OFCBs).

Another $2.591 billion came through External Commercial Borrowings (ECBs).

Together, these sources helped banks mobilise $72.85 billion in foreign currency.

What Are FCNR(B) Deposits?

FCNR(B) stands for Foreign Currency Non-Resident (Bank) account.

These are fixed-term deposits that Non-Resident Indians (NRIs) can hold with Indian banks in permitted foreign currencies instead of Indian rupees.

Since the deposits remain in foreign currency, depositors are not exposed to the same currency conversion risk that comes with keeping money in a rupee-denominated deposit.

For Indian banks, these deposits provide access to foreign currency funding.

Under the RBI’s special swap arrangement, banks can bring in eligible foreign currency and exchange it with the central bank for rupee liquidity.

How Does RBI’s Dollar-Rupee Swap Facility Work?

The process is fairly simple.

First, banks raise foreign currency through eligible sources such as FCNR(B) deposits.

They can then use the RBI’s swap facility to exchange this foreign currency for rupees.

As a result, banks receive rupee liquidity, while the RBI receives foreign currency.

This helps improve the availability of foreign exchange in the financial system without depending entirely on direct intervention in the spot currency market.

The facility is part of the RBI’s broader efforts to improve foreign currency liquidity and support financial stability during periods of pressure on the rupee and global financial markets.

FCNR(B) Window Ends on August 31

The special forex facility has different deadlines for different sources of foreign currency.

The FCNR(B) window will close on August 31, 2026.

However, the facilities for External Commercial Borrowings and Overseas Foreign Currency Borrowings will remain available until December 31, 2026.

This means banks have only a short time left to raise additional FCNR(B) deposits under the special arrangement.

Why Is This Important?

The $72.85 billion mobilisation highlights the significant role of foreign currency deposits in India’s financial system.

With FCNR(B) deposits contributing nearly 90% of the total, the route has emerged as the main source of foreign currency under the RBI’s special arrangement.

The different deadlines also mean banks will have to act quickly if they want to raise more foreign currency through FCNR(B) deposits before the August 31 deadline.

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