RBL Bank has mobilised $150 million through Foreign Currency Non-Resident Bank [FCNR(B)] deposits within about a month, leveraging the Reserve Bank of India’s temporary FCNR(B) deposit window and the international network of its new majority shareholder, Emirates NBD. The RBL Bank Emirates NBD partnership is expected to strengthen the bank’s foreign currency funding base, diversify deposits, and support its next phase of growth.
The milestone comes shortly after Emirates NBD acquired a 60% stake in RBL Bank through a $2.75 billion investment, giving the lender access to a wider non-resident Indian (NRI) customer base across the Middle East and other international markets. Management said the partnership is already helping accelerate deposit mobilisation and create opportunities in trade finance and cross-border banking.
FCNR Deposits Boost Foreign Currency Funding
FCNR(B) deposits are foreign currency fixed deposits maintained by NRIs with Indian banks. Since these deposits are held in foreign currencies such as the US dollar, they help banks access overseas funding without taking immediate currency conversion risks.
RBL Bank said it has already mobilised around $150 million under the RBI’s special FCNR(B) scheme. The bank did not disclose a target for the remaining duration of the RBI’s special window, which is available until September.
FCNR Deposit Drive at a Glance
| Metric | Details |
|---|---|
| Amount raised | $150 million |
| Funding source | FCNR(B) deposits |
| Target customers | Non-Resident Indians (NRIs) |
| Key partner | Emirates NBD |
| RBI special window | Open until September |
Emirates NBD Partnership Opens New Growth Avenues
RBL Bank’s management said Emirates NBD’s global presence provides significant opportunities beyond deposit mobilisation.
The bank expects to expand in areas including:
- Trade finance.
- Structured financial products.
- Cross-border banking services.
- NRI banking.
- Business linked to trade corridors where Emirates NBD has a strong presence.
According to Managing Director and CEO R. Subramaniakumar, the partnership significantly expands the bank’s geographical reach and product capabilities.
Strategic Benefits
| Area | Expected Impact |
|---|---|
| FCNR deposits | Lower-cost foreign currency funding |
| NRI banking | Larger overseas customer base |
| Trade finance | Increased cross-border business |
| Product innovation | New structured finance offerings |
| International presence | Access to Emirates NBD network |
Strong Quarterly Performance Supports Growth
The FCNR mobilisation comes alongside a solid financial performance for the quarter ended June 2026.
RBL Bank reported:
- Net profit: ₹254 crore, up 27% year-on-year.
- Net Interest Income (NII): Increased 12%.
- Continued growth in advances and deposits.
Management indicated that stronger deposit mobilisation, coupled with a well-capitalised balance sheet following Emirates NBD’s investment, will support future lending and improve funding efficiency. Read our detailed coverage of how RBL Bank’s Q1 results beat estimates with a ₹254 crore profit.
Q1 FY27 Highlights
| Metric | Performance |
|---|---|
| Net profit | ₹254 crore |
| Profit growth | 27% YoY |
| NII growth | 12% YoY |
| FCNR deposits mobilised | $150 million |
Why FCNR Deposits Matter
FCNR(B) deposits play an important role in strengthening India’s foreign currency resources while providing banks with access to stable overseas funding.
For RBL Bank, the deposits offer several advantages:
- Diversified funding sources.
- Improved foreign currency liquidity.
- Potential reduction in funding costs.
- Stronger support for international banking operations.
- Enhanced ability to serve global NRI customers.
The RBI’s temporary relaxation under the FCNR(B) scheme has encouraged several banks to actively seek NRI deposits amid evolving global financial conditions. RBL Bank is far from alone: PNB is chasing $2.5 billion via FCNR-B deposits, and analysts expect FCNR flows to give Axis Bank a funding boost as well.
Looking Ahead
RBL Bank’s successful mobilisation of $150 million in FCNR(B) deposits demonstrates the early benefits of its partnership with Emirates NBD and its strategy to deepen relationships with the global NRI community. Beyond strengthening its funding profile, the bank expects the collaboration to unlock opportunities in trade finance, structured products, and international banking.
As the RBI’s special FCNR(B) window remains open through September, investors will watch whether RBL Bank can further increase overseas deposits while translating its expanded international footprint into stronger earnings growth.
Frequently Asked Questions
What is the RBL Bank and Emirates NBD deal?
Emirates NBD acquired a 60% stake in RBL Bank through a $2.75 billion investment, becoming its majority shareholder. The partnership gives RBL Bank access to Emirates NBD’s international network and a wider NRI customer base across the Middle East.
What is an FCNR(B) deposit?
A Foreign Currency Non-Resident Bank [FCNR(B)] deposit is a fixed deposit an NRI holds with an Indian bank in a foreign currency such as the US dollar. Because it is not held in rupees, the bank gets overseas funding without immediate currency conversion risk for the depositor.
How much has RBL Bank raised and until when is the RBI window open?
RBL Bank has mobilised about $150 million in roughly a month under the RBI’s special FCNR(B) scheme. That special window is open until September; the bank has not disclosed a target for the remaining period.
Get the day’s top stories in your inbox
One concise email. No spam, unsubscribe anytime.
