"Shock Move by RBI!" Central Bank Abruptly Shuts Special Dollar Window a Month Early After Massive $52 Billion NRI Inflow!

In a surprise move that has caught commercial bankers, economists, and currency traders completely off guard, the Reserve Bank of India (RBI) has announced the early shutdown of its special Foreign Currency Non-Resident (Bank) [FCNR(B)] dollar-rupee swap window on August 31, 2026-a full month ahead of its scheduled September 30 deadline. The unexpected announcement sent shockwaves through treasury desks across Mumbai, forcing banks to rapidly recalibrate their foreign deposit drives and swap strategies.

The concessional swap facility was launched in June to shield the Indian rupee against global currency volatility and rising oil import bills by encouraging Non-Resident Indians (NRIs) to deposit hard currency into Indian banks. The program proved to be a massive hit, raking in an astonishing $52.3 billion (over ₹4.3 lakh crore) in fresh foreign currency deposits in just two months.

The central bank pulled the plug early because its dollar mobilization target was comfortably reached, and allowing the scheme to run longer would have saddled the RBI with unnecessary long-term currency-hedging costs.