NRI deposits see nearly $4 billion inflows in April-June FY25: RBI data

Overseas Indians deposited around $4 billion in non-resident Indian (NRI) deposit schemes in April – June FY25, up 79 per cent over the amount deposited in these schemes in the same period last year, data released by the Reserve Bank of India (RBI) on Monday showed.

In April – June FY25, inflows into the NRI schemes stood at $3.95 billion, compared to $2.21 billion during the same period a year ago. With this, the total outstanding NRI deposits as of June stood at $155.71 billion. Meanwhile, in June, inflows into the various NRI schemes stood at $1.23 billion compared to $1.7 billion in May, the data shows.

The NRI deposit schemes include foreign currency non-resident (FCNR) deposits, non-resident external (NRE) deposits, and non-resident ordinary (NRO) deposits.

During the April – June FY25 period, maximum flows came into FCNR (B) deposits. According to RBI data, about $1.68 billion flowed into these accounts during this period, compared to $1.12 billion in the corresponding period a year ago, taking the total outstanding amount in such accounts to $27.41 billion.

An FCNR (B) account lets customers maintain a fixed deposit in India in freely convertible foreign currencies for a tenure ranging from one to five years. Since the account is maintained in foreign currency, it secures your funds against currency fluctuations during the tenure of the deposit.

Meanwhile, NRE deposits witnessed an inflow of $1.53 billion during this period, compared to an inflow of $489 million in the corresponding period a year ago. The total outstanding NRE deposits now stand at close to $100 billion. NRE deposits are a high-return rupee deposit option for NRIs to invest their foreign income.

Similarly, NRO deposits also saw substantial inflows of $743 million in April – June FY25, compared to $598 million during the same period a year ago, taking the total outstanding NRO deposits to $28.24 billion. An NRO account is a rupee-denominated bank account for NRIs, persons of Indian origin, and overseas citizens of India, who wish to deposit income earned in India.