SBI, ICICI and Other Banks Hike FD Interest Rates: Check the Latest Returns
Non-Resident Indians (NRIs) have received some welcome news. Several leading banks, including the State Bank of India (SBI), ICICI Bank, HDFC Bank, Bank of Baroda, and Kotak Mahindra Bank, have increased interest rates on FCNR(B) and NRI fixed deposits.
The move comes after the Reserve Bank of India (RBI) introduced measures aimed at attracting more foreign currency into the country. The central bank has also opened a special foreign currency swap window for banks until September 30, making it easier and more cost-effective for banks to offer higher returns on foreign currency deposits.
Why Are Banks Offering Higher Interest Rates?
The main goal is to encourage NRIs to park their money in Indian banks. Experts believe these measures could help bring in nearly $60-70 billion in foreign capital, strengthening India's foreign exchange reserves.
With the RBI absorbing hedging-related costs through the swap facility, banks now have more flexibility to offer attractive interest rates on foreign currency deposits.
ICICI Bank's New Offer
ICICI Bank has announced an interest rate of up to 6.50% on select NRI fixed deposits from June 11. The revised rates are expected to attract NRI investors looking for better returns on their savings.
SBI Launches Special FCNR(B) Scheme
SBI has introduced the SBI Advantage FCNR(B) Deposit Scheme for US dollar deposits with tenures ranging from three to five years. The scheme comes with a one-year lock-in period.
Under the revised structure:
Bank of Baroda Increases Returns
Bank of Baroda has also rolled out higher rates under its FCNR(B) deposit scheme across major foreign currencies.
The revised rates include:
HDFC and Kotak Join the Trend
HDFC Bank has increased its FCNR(B) deposit rate to 6% for deposits with a tenure of 3-5 years. The revised rates apply to deposits booked between June 10 and September 30, 2026.
Meanwhile, Kotak Mahindra Bank is offering:
What It Means for NRIs
The latest rate hikes have made foreign currency deposits more attractive than before. For NRIs looking to earn better returns while keeping funds in foreign currencies, the coming months could present a valuable opportunity. With several major banks competing for deposits, customers now have a wider range of options to choose from.
Disclaimer: This article is for informational purposes only and does not constitute investment advice. Please consult a certified financial advisor before making any decisions. NewsPoint is not responsible for any gains or losses arising from this information.
The move comes after the Reserve Bank of India (RBI) introduced measures aimed at attracting more foreign currency into the country. The central bank has also opened a special foreign currency swap window for banks until September 30, making it easier and more cost-effective for banks to offer higher returns on foreign currency deposits.
Why Are Banks Offering Higher Interest Rates?
The main goal is to encourage NRIs to park their money in Indian banks. Experts believe these measures could help bring in nearly $60-70 billion in foreign capital, strengthening India's foreign exchange reserves.With the RBI absorbing hedging-related costs through the swap facility, banks now have more flexibility to offer attractive interest rates on foreign currency deposits.
ICICI Bank's New Offer
ICICI Bank has announced an interest rate of up to 6.50% on select NRI fixed deposits from June 11. The revised rates are expected to attract NRI investors looking for better returns on their savings.You may also like
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SBI Launches Special FCNR(B) Scheme
SBI has introduced the SBI Advantage FCNR(B) Deposit Scheme for US dollar deposits with tenures ranging from three to five years. The scheme comes with a one-year lock-in period. Under the revised structure:
- 5.50% interest for deposits above $1 million with a tenure of 3-4 years
- 5.75% interest for 4-5 year deposits
- 6.00% interest for 5-year deposits
Bank of Baroda Increases Returns
Bank of Baroda has also rolled out higher rates under its FCNR(B) deposit scheme across major foreign currencies. The revised rates include:
- 6.00% on US dollar deposits
- 4.75% on British Pound (GBP) deposits
- 4.75% on Australian Dollar (AUD) deposits
- 5.15% on Canadian Dollar (CAD) deposits
- 3.75% on Euro deposits
HDFC and Kotak Join the Trend
HDFC Bank has increased its FCNR(B) deposit rate to 6% for deposits with a tenure of 3-5 years. The revised rates apply to deposits booked between June 10 and September 30, 2026.Meanwhile, Kotak Mahindra Bank is offering:
- 6.00% interest on FCNR(B) deposits below $1 million
- 6.15% interest on deposits above $1 million
What It Means for NRIs
The latest rate hikes have made foreign currency deposits more attractive than before. For NRIs looking to earn better returns while keeping funds in foreign currencies, the coming months could present a valuable opportunity. With several major banks competing for deposits, customers now have a wider range of options to choose from. Disclaimer: This article is for informational purposes only and does not constitute investment advice. Please consult a certified financial advisor before making any decisions. NewsPoint is not responsible for any gains or losses arising from this information.
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