Archive · 3 Sep 2026
GIFT IFSC Channels $52.82 Billion Under RBI Swap Scheme
GIFT City is a place in India where international banking can take place.
Banks there helped move about $52.82 billion through a special Reserve Bank of India program.
The program encouraged banks to collect foreign-currency deposits from non-resident Indians for three to five years.
In total, the program raised $127.2 billion.
This means GIFT City handled about 42% of the money.
The Reserve Bank created the program to help India maintain enough foreign currency.
Twenty banking units approved $54.02 billion and paid out $52.82 billion by August 31, 2026.
GIFT City banks also helped with overseas company borrowing and bond fundraising.
GIFT City International Banking Units facilitated about $52.82 billion, or 42%, of the $127.2 billion mobilised through the RBI’s FCNR(B) swap facility.
Twenty IFSC Banking Units sanctioned $54.02 billion under the scheme by August 31, 2026, with $52.82 billion disbursed.
The RBI introduced the facility on June 5 to encourage three- to five-year FCNR(B) deposits and strengthen India’s foreign-exchange position.
Finance Minister Nirmala Sitharaman directed public-sector banks to make greater use of GIFT City’s infrastructure for the scheme.
GIFT City IBUs also disbursed $11.62 billion in external commercial borrowings, while Indian banks raised $11.12 billion through IFSC bond issuances from April to August.
- Who
- The Reserve Bank of India, GIFT City International Banking Units, Indian banks, the International Financial Services Centres Authority, and participating overseas depositors.
- What
- GIFT City facilitated about $52.82 billion of mobilisation under the Reserve Bank of India’s FCNR(B) swap facility.
- When
- The facility began on June 5, 2026; the main figures cover activity through August 31, 2026, while related borrowing and bond figures cover April-August 2026.
- Where
- GIFT City’s International Financial Services Centre in India.
- Why
- The facility was intended to encourage three- to five-year foreign-currency deposits and strengthen India’s foreign-exchange position amid pressure on the rupee and balance of payments linked to the West Asia conflict.
- Amount disbursed
- GIFT City IBUs disbursed about $52.82 billion under the FCNR(B) swap facility by August 31, 2026.
- Share of mobilisation
- The GIFT City amount represented about 42% of the $127.2 billion mobilised through the facility.
- Loans sanctioned
- Twenty IFSC Banking Units sanctioned $54.02 billion under the scheme.
- Facility purpose
- The RBI scheme encouraged fresh FCNR(B) deposits with maturities of three to five years.
- External commercial borrowings
- GIFT City IBUs disbursed $11.62 billion in ECBs from April to August 2026.
- Bond issuances
- Indian banks raised $11.12 billion through bond listings on IFSC exchanges during April-August 2026.
- Acceleration
- Aggregate sanctions rose from $28.60 billion on August 14 to $54.02 billion by August 31, 2026.
