FCNR Deposits

FCNR Term Deposits are an investment option for NRIs who prefer to hold their deposit in a foreign currency of their choice and with interest payment also in the same currency. FCNR deposit insulates the depositors from risks relating to currency conversion and foreign currency exchange rates. Returns on FCNR deposits are higher than those offered by similar products abroad.

  • TDS Exempted

    On interest earned

  • High Rate of Interest

    Compared to other such product abroad

  • Repatriable

    Both interest and principal

Features & benefits
  • FCNR deposit can be opened in the following currencies USD, GBP, EUR, JPY, AUD and CAD.
  • Flexible deposit tenor ranging from 1 to 5 years.
  • Interest earned is not taxable in India.
  • Loans against FCNR deposit are available.
  • Option of forward contract against FCNR deposit is available for NRIs who prefer to take the FCNR maturity proceeds in INR (Forward contract is a process to fix conversion rate in advance at the time of creating a deposit to take the maturity to proceed in INR. It will safeguard against rate fluctuation and a combination of interest rate & premium on the rates will give high ROI).
Terms and Conditions
  • Rates are subject to change, without prior notice.
  • No interest is payable if the deposit is withdrawn before one year.
  • Any pre-closure after completion of one year will be applicable to pre-closure penalty norms.
  • When the depositor returns to India for permanent settlement.
  • When FCNR(B) deposits are converted into NRE deposits or vice versa.
Interest Rate

The revised interest rates for the period from 06/07/2026 To 31/07/2026 in respect of FCNR term deposits are as below:

FCNR DEPOSITS (Under the RBI Swap facility)

(In Percentage)
PERIOD USD GBP EUR JPY CAD AUD
Below 1 Million 1 Million and above
1 Year and above but less than 2 Years 5.00 5.00 3.98 2.68 1.23 2.32 4.60
2 Years and above but less than 3 Years 4.00 4.00 3.73 1.68 1.23 1.82 4.35
3 Years and above but less than 4Years 7.00 7.10 2.73 1.18 1.23 1.82 4.35
4 Years and above but less than 5 Years 7.00 7.10 2.73 1.18 1.08 1.82 4.10
5 Years only 7.00 7.10 2.73 1.18 1.08 1.82 4.10

FCNR DEPOSITS (Not under the RBI Swap facility)

(In Percentage)
PERIOD USD GBP EUR JPY CAD AUD
1 Year and above but less than 2 Years 5.00 3.98 2.68 1.23 2.32 4.60
2 Years and above but less than 3 Years 4.00 3.73 1.68 1.23 1.82 4.35
3 Years and above but less than 4Years 4.00 2.73 1.18 1.23 1.82 4.35
4 Years and above but less than 5 Years 4.00 2.73 1.18 1.08 1.82 4.10
5 Years only 4.00 2.73 1.18 1.08 1.82 4.10
  • Any change in Interest Rates on FCNR deposits would be conveyed expeditiously through circular instructions/updation in website.
  • No interest is payable if the deposit is withdrawn before one year.
  • Any pre-closure after completion of one year will be applicable to pre-closure penalty norms.
  • FCNR - USD deposits booked under the 3 years up to 5 years tenor during the period 10/06/2026 to 30/09/2026 under the RBI FCNR (B) swap facility shall have a mandatory Lock in period of One Year. No premature closure will be permitted during this period. After completion of one-year, premature closure may be allowed as per the Bank's existing guidelines and interest will be paid at the applicable run period rate less 1% as per Bank's Deposit Policy.