Mumbai: Foreign exchange inflows under the Reserve Bank of India’s swap facility have crossed $136 billion, surpassing all projections.
The inflows — via Foreign Currency Non-Resident (Bank) FCNR (B) Deposits, Overseas Foreign Currency Borrowings (OFCBs) and External Commercial Borrowings (ECBs) — are expected to provide major relief to the Indian rupee by swelling India’s foreign exchange reserves.
The RBI had introduced a special USD-INR forex swap facility covering these instruments on June 8 this year to deal with forex outflows due to high oil prices and flight of capital owing to exit of Foreign Portfolio Investors (FPIs) from the stock market.
Over $127 billion has been mobilised via FCNR (B) deposits alone.
