Banks See Strong Deposit Growth in Q2 Driven by FCNR(B) Mobilisation

Business Standard · business

Indian banks experienced robust deposit growth in the July-September quarter of FY27, significantly boosted by FCNR(B) deposits mobilised under the RBI's concessional swap window, which concluded on August 31. Several major banks, including Bank of Baroda, Bank of India, and Yes Bank, reported substantial increases in both deposits and advances during this period. This influx of foreign currency deposits helped strengthen the banking sector's liquidity. The overall trend indicates a positive financial performance for banks in the second quarter.