Data on Forex inflows via FCNR(B) Deposits, External Commercial Borrowings (ECBs) and Overseas Foreign Currency Borrowings (OFCBs) under Reserve Bank’s Swap facility
Distilled Policy Brief
- The RBI introduced a special USD-INR Forex Swap facility covering FCNR(B) deposits, ECB and OFCB inflows on June 08, 2026.
- The scheme was open till August 31, 2026 for FCNR(B) deposits, and will be open up to December 31, 2026 for ECBs and OFCBs.
🎯 Prelims High-Yield Examination Points
RBI's USD-INR Forex Swap facility and capital account instruments like FCNR(B), ECB, and OFCB.
⚖️ Mains Analytical & Syllabus Linkages
Capital account management and monetary policy tools used by the RBI to stabilize forex inflows and the exchange rate.
🎯 UPSC Prelims Practice Drill
With reference to the special USD-INR Forex Swap facility introduced by the Reserve Bank of India (RBI) in June 2026, consider the following statements: 1. The facility covers foreign currency inflows through Foreign Currency Non-Resident (Bank) [FCNR(B)] deposits, External Commercial Borrowings (ECBs), and Overseas Foreign Currency Borrowings (OFCBs). 2. The facility has a uniform closing deadline of December 31, 2026, for all eligible categories of inflows. Which of the statements given above is/are correct?
- [A] 1 only
- [B] 2 only
- [C] Both 1 and 2
- [D] Neither 1 nor 2
▶ Reveal Official Answer & Analytical Explanation
Statement 1 is correct as the RBI's special USD-INR Forex Swap facility covers FCNR(B) deposits, ECB, and OFCB inflows. Statement 2 is incorrect because the facility does not have a uniform deadline; it was open till August 31, 2026, for FCNR(B) deposits, while it remains open up to December 31, 2026, for ECBs and OFCBs.
🏛️ Historical Twin PYQ Anchor (2021)
Consider the following statements regarding the "National Clean Air Programme (NCAP)": 1. It is implemented by the Ministry of Environment, Forest and Climate Change. 2. Central Pollution Control Board acts as the sole regulatory executive body.