The Reserve Bank of India (RBI) in its latest data has said that deposits by non-resident Indians (NRIs) declined by more than 23% year-on-year (YoY) to $2.775 billion in April-June 2026-27 (Q1FY27). NRI deposits had recorded inflows of $3.614 billion in the April-June period of 2025-26. Despite the moderation in fresh inflows, outstanding NRI deposits rose to $168.506 billion at end-June 2026 from $168.327 billion a year earlier, on the back of NRO and FCNR(B) deposits.
Inflows into Foreign Currency Non-Resident (Bank) or FCNR(B) deposits more than doubled to $1.73 billion during April-June 2026-27. FCNR(B) deposits attracted $1.732 billion during April-June 2026-27, compared with $774 million in the year-ago period, an increase of about 124 per cent. The outstanding amount under FCNR(B) deposits rose to $35.487 billion at the end of June 2026 from $33.583 billion a year earlier. On a month-on-month basis, outstanding FCNR(B) deposits increased from $34.038 billion at end-May 2026 to $35.487 billion at end-June 2026.
The central bank introduced a special FCNR (B) window at its June Monetary Policy Committee (MPC) meeting, including bearing the cost of currency hedging, to increase foreign capital inflows and bolster India's external position. However, on August 14, the central bank had decided to close the window for fresh FCNR(B) deposits under the special swap facility on August 31, one month ahead of the scheduled September 30 closure.
