BI Exempts Fresh FCNR(B) Deposits from CRR and SLR Requirements for Small Finance Banks

The Reserve Bank of India (RBI) has announced that fresh Foreign Currency Non-Resident (Bank) [FCNR(B)] deposits with tenors ranging from 3 to 5 years, mobilized by Small Finance Banks between June 8, 2026, and September 30, 2026, will be exempt from maintaining Cash Reserve Ratio (CRR) and Statutory Liquidity Ratio (SLR). The move aligns with RBI’s newly introduced USD-INR swap facility aimed at attracting foreign currency inflows, strengthening forex reserves, and improving liquidity in the banking system. The amendment comes into effect immediately.