New Delhi, Aug. 15 -- The Reserve Bank of India's (RBI) decision to prematurely close its special FCNR(B) deposit mobilisation window is unlikely to materially undermine the liquidity and funding benefits already generated for banks, with the scheme having mobilised substantially higher inflows than initially expected, according to a report by CareEdge Ratings.

The RBI has advanced the deadline for banks to mobilise fresh FCNR(B) deposits to August 31, 2026, from September 30, following strong foreign currency inflows. As of August 13, FCNR(B) deposits had mobilised USD 52.3 billion, while total inflows through the broader facilities stood at about USD 56.8 billion.

CareEdge said the scheme should primarily be viewed as a liquidity and ...