Day: June 11, 2026

If you’re an NRI, you’ve probably heard this from a banker recently: “Put your dollars in an
FCNR deposit. The rates have never been this good.”
This time, they’re not exaggerating. In June 2026, the RBI announced that the hedging cost
on fresh 3–5 year FCNR deposits — a roughly 3% annual drag that banks normally bear —
will be absorbed by the government until 30 September 2026. Within days, banks raised
FCNR rates sharply. On a $10,000 five-year deposit, that can mean over $1,200 in extra
interest.