State-owned Central Bank of India has successfully raised $250 million under the Reserve Bank of India's FCNR-B window, surpassing its internal target of $100 million for July. According to PTI, Managing Director and CEO Kalyan Kumar announced this achievement on Wednesday during the annual FIBAC event, stating "We have surpassed the July target set internally, and mobilised USD 250 million under FCNR - B." The bank has raised these funds through its GIFT City branch and has set an ambitious target of $400 million by September end. As reported by The Hindu BusinessLine, Kumar had previously indicated during the post-June quarter earnings conference that the bank expects to accumulate a total of $400 million under this facility.
The bank is currently offering 6.50% on three-year deposits and 6.60% on five-year deposits to attract foreign investors. As reported by PTI, a senior executive indicated that the bank is specifically targeting deposits from West Asian and Australian markets. The RBI introduced this special window during the June monetary policy committee meeting, including bearing the cost of currency hedging to increase foreign capital inflows and bolster India's external position.
The FCNR-B facility, operational since June 8, 2026, is part of the RBI's comprehensive package to strengthen the balance of payments and boost foreign exchange reserves. According to PTI, based on data from authorized dealer banks, total foreign exchange inflows mobilized under the facility stood at $40.816 billion as of July 31. The latest RBI data shows that Foreign Currency Non-Resident (Bank) deposits account for $36.725 billion, followed by Overseas Foreign Currency Borrowings at $2.575 billion and External Commercial Borrowings at $1.516 billion. The swap facility for fresh FCNR-B deposits will remain open until September 30, 2026, while the window for OFCBs and ECBs will continue till December 31, 2026.
Regarding technology investments, Kumar revealed that the bank's current IT capital expenditure stands at 8-9% of total spend. As reported by PTI, the bank has allocated ₹1,000 crore for FY27 IT capex, indicating a significant increase in technology investments for the upcoming fiscal year.
