RBI Launches Forex Swap Facility for ECBs and Overseas Borrowings to Boost Foreign Currency Inflows

The Reserve Bank of India (RBI) has introduced a US Dollar-Rupee Forex Swap Facility for eligible External Commercial Borrowings (ECBs) raised by Public Sector Undertakings (PSUs) and Overseas Foreign Currency Borrowings (OFCBs) raised by banks. The facility allows eligible entities to hedge foreign currency inflows through RBI at a fixed swap rate of 1.5% per annum for up to five years. The scheme is effective from June 8, 2026, and will remain available for eligible borrowings until December 31, 2026, with the swap window open until January 15, 2027.