Success of RBI’s NRI deposit scheme is posing a liquidity problem

The RBI’s special FCNR(B) deposit scheme was designed to attract dollars, strengthen India’s foreign exchange reserves and support the rupee but the scheme brought in far more money than expected. With FCNR(B) deposits reaching $127.2 billion and banking-system surplus liquidity hitting a record ₹9.7 trillion, the RBI now faces a new challenge of how to absorb the excess rupees without disrupting markets. --------------------------------------------------------------------------------------------- Exclusive content, special privileges & more – Subscribe to ThePrint for Special benefits: https://tinyurl.com/4ymm9wh5 --------------------------------------------------------------------------------------------- Connect with ThePrint » Subscribe to ThePrint: https://tinyurl.com/4ymm9wh5 » Subscribe to our YouTube Channel: https://bit.ly/3nCMpht » Like us on Facebook: https://www.facebook.com/theprintindia » Tweet us on Twitter: https://twitter.com/theprintindia » Follow us on Instagram: https://www.instagram.com/theprintindia » Find us on LinkedIn : https://www.linkedin.com/company/theprint » Subscribe to ThePrint on Telegram: https://t.me/ThePrintIndia » Find us on Spotify: https://spoti.fi/2NMVlnB » Find us on Apple Podcasts: https://apple.co/3pEOta8