-Pralay Mondal, MD & CEO, CSB Bank
“The FCNR deposit swap facility has come in at the right time. We have seen Money Market rates and Bulk Deposit rates rising last month. The swap window help banks raise FCNR deposits closer to domestic deposit rates and remove the stress from short term domestic rates. It’s a win win for NRIs and Banks both as NRIs receive some spread over US rates. The spreads have narrowed in the recent past and banks get another avenue to raise much needed deposits. It will help ease pressure on short term rates, bring dollars into the country, support rupee stability by augmenting foreign currency inflows and help improve LCR for the banks.”