RBI Dollar-Rupee Swap Facility Mobilizes USD 73 Billion in 11 Weeks, Substantially Boosting India's Foreign Exchange Reserves
Distilled Policy Brief
- RBI's special US Dollar-INR swap facility, launched on June 8, 2026, successfully mobilized USD 73 billion within 11 weeks, surpassing the 2013 swap scheme performance.
- The FCNR(B) deposit scheme alone attracted USD 65.40 billion, driven by strong participation and confidence from Non-Resident Indians (NRIs) in the Indian banking sector.
- Due to overwhelming response, the RBI decided to close the FCNR(B) window ahead of schedule on August 31, 2026, successfully strengthening India's foreign exchange reserves and external sector.
🎯 Prelims High-Yield Examination Points
RBI's US Dollar-INR swap facility mobilized USD 73 billion by August 2026, with the FCNR(B) deposit scheme alone contributing USD 65.40 billion.
⚖️ Mains Analytical & Syllabus Linkages
Analyze the impact of RBI's foreign exchange swap facilities on bolstering India's external reserves, managing currency volatility, and leveraging NRI remittances and diaspora investments for economic growth.
🎯 UPSC Prelims Practice Drill
With reference to the recent special US Dollar-INR foreign exchange swap facility and FCNR(B) deposit scheme, consider the following statements: 1. The special US Dollar-INR swap facility was launched by the Reserve Bank of India (RBI) on June 8, 2026. 2. The FCNR(B) deposit scheme window was closed ahead of schedule on August 31, 2026, due to an overwhelming response that surpassed previous performances like the 2013 swap scheme. 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
Both statements are correct based on the provided text. The RBI's special US Dollar-INR foreign exchange swap facility, including the FCNR(B) deposit scheme, was launched on June 8, 2026. It mobilized USD 73 billion within 11 weeks, outperforming the 2013 scheme, and due to this overwhelming response, the RBI closed the FCNR(B) window ahead of schedule on August 31, 2026.
🏛️ 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.