Forex boost: RBI's special swap facility draws $40.8 bn in foreign inflows

Foreign currency inflows under the Reserve Bank of India's (RBI) special swap facility almost doubled in just two weeks, rising to $40.816 billion by July 31 from $20.718 billion as of July 17. According to the latest RBI data, Foreign Currency Non-Resident (Bank) [FCNR(B)] deposits remained the biggest contributor, accounting for the bulk of funds mobilised under the concessional swap scheme. The numbers are based on data received from Authorised Dealer Banks and reflect foreign exchange inflows raised through the RBI's special facility. According to the RBI, FCNR(B) deposits contributed $36.725 billion by the end of July, making them the largest source of funds under the facility. Overseas Foreign Currency Borrowings (OFCBs) accounted for $2.575 billion, while External Commercial Borrowings (ECBs) added $1.516 billion.With $36.725 billion mobilised through FCNR(B) deposits, this route accounted for around 90% of the total inflows under the facility.