RBI Governor Details on FCNR(B) Deposit Mobilization and Liquidity Norms
- Reports
- 7
- Developments
- 6
- Repetition
- 71%
New informationRepeats or wire copies
What happened
RBI Governor Sanjay Malhotra detailed the status of the concessional swap facility for Foreign Currency Non-Resident (Bank), or FCNR(B), deposits. As of late August, the scheme had successfully mobilized $127.2 billion in FCNR(B) deposits under the RBI's scheme. Malhotra stated that approximately 48.50% of these deposits were for a five-year tenure, while about 42% were for three years or up to four years.
Why it matters
The RBI's actions regarding liquidity schemes and foreign currency inflows are critical to the management of India's foreign exchange reserves and financial stability. The central bank's policy actions, including the special FCNR(B) window, are closely watched by global markets as they influence domestic interest rate expectations and liquidity conditions.
From indiatimes.com
Who's involved
- Reserve Bank of IndiaCentral bank of India responsible for monetary policy and foreign exchange management.
- Sanjay MalhotraGovernor of the Reserve Bank of India, responsible for policy implementation.
Who could feel it
Possible knock-on effectsThese are possibilities Brind reasoned out, not predictions, and not advice. Most are not stated in any report.
- Reserve Bank of IndiaSpeculative
The successful implementation of liquidity schemes could attract significant foreign currency inflows.
How it developed
Newest first. Tap a step to see who reported it.- The State Bank of India and the broader Indian banking sector are currently focused on managing foreign currency inflows and integrating AI into their operations.Sub-event
- RBI officials discussed liquidity absorption and warned of risks stemming from foreign currency flows.Sub-event
RBI liquidity scheme, Jana Bank predictions, and Telegram alerts.1 source
- RBI policy actions, including the swap facility closure, are driving market conditions for bond sales and funding deadlines for several financial institutions.Sub-event
- State Bank of India, ICICI Bank, and HSBC garnered inflows under a deposit incentive scheme.Sub-event
RBI norms impact bank liquidity; various financial institutions respond regarding FCNR(B) deposits and LCR benefits.1 source
Keep exploring
The entities involved
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Reserve Bank of India
central bank of India
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Sanjay Malhotra
governor of the Reserve Bank of India (RBI)
Nothing else this week.
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State Bank of India
Indian public sector bank and financial services organization
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Kotak Mahindra Bank
Indian private sector bank headquartered in Mumbai
Related events
- IDFC First Bank stock traded on BSE at Rs. 84.95, while the bank utilized the RBI FCNR(B) swap window for deposit mobilization.
- RBI strengthens India's external liquidity and reserve position.
- Sanjay Malhotra is the governor of the Reserve Bank of India, the central bank of India.
- RBI's swap facility closure is now affecting demand for FCNR(B) deposits.
- RBI granted approval for major shareholding changes concerning CSB Bank, which must comply with SEBI market rules.