NRI lottery started! SBI and Bank of Baroda increased interest rates drastically, now you will get up to 6% return on dollar

FCNR Deposit Rate Hike 2026: The impact of a major decision of the Reserve Bank of India (RBI) is now clearly visible on the public sector banks of the country. After the encouragement given by RBI to increase the foreign exchange reserves in the country, now the country’s largest government banks SBI and Bank of Baroda (BoB) have given a big gift to their NRI customers. Both these leading banks have drastically increased the interest on their FCNR i.e. Foreign Currency Non-Resident (FCNR-B) Deposit Scheme. After this decision, Indians living abroad are going to get more profits than before on their dollar and other foreign currency deposits.
After the implementation of the new interest rates, NRIs can now earn up to 6 percent annual return on FCNR deposits in US dollars (USD). Let us tell you that earlier this interest rate used to be only around 3.35 percent, that is, banks have directly increased it by a huge amount up to 2.65 percent. However, before SBI and Bank of Baroda, private sector HDFC Bank, Yes Bank and AU Small Finance Bank have also increased the interest rates on FCNR deposits.
State Bank of India launches new ‘SBI FCNR Advantage Scheme’
The country’s largest bank SBI has launched a special ‘FCNR (B) Advantage Deposit Scheme’ in the market to attract NRI customers. According to this new scheme, if a customer deposits an amount of up to 1 million dollars (1 million USD) in the bank, he will get 5.25 percent interest for a period ranging from 3 years to less than 4 years. At the same time, a strong interest of 5.50 percent will be given on deposits for the period of 4 years to less than 5 years and 5.75 percent for the entire period of 5 years. Apart from this, NRIs who invest huge amount of more than 10 lakh dollars If you deposit money, you will be able to get excellent returns up to a maximum of 6% for a period of 5 years.
Bank of Baroda increased interest on pound and euro along with dollar.
Like SBI, Bank of Baroda (BoB) has also opened the safe deposit box for its NRI customers. The bank has made a major change in the interest rates of FCNR (B) available on all the major foreign currencies of the world like American Dollar (USD) as well as British Pound (GBP), Euro (EUR), Australian Dollar (AUD) and Canadian Dollar (CAD). Under this new scheme of Bank of Baroda, now customers are being given annual returns of up to 6 percent on US dollar deposits, up to 4.75 percent on British pound and Australian dollar, up to 5.15 percent on Canadian dollar and up to 3.75 percent on Euro deposits.
Know how banks and the country will benefit from this relief from RBI.
Bank of Baroda Executive Director Beena Waheed says that due to the recent decisions of RBI, it has now become easier for Indian banks to raise foreign currency from NRI customers. This will not only increase the pace of FCNR deposits in banks, but will also give good strength to the Indian Rupee in the international market. In fact, recently the Reserve Bank had relaxed some rules related to FCNR deposits and foreign loans (ECB) to increase the flow of foreign exchange in the country. Its direct objective was to easily bring dollar funds into India and that is why banks are now able to offer such attractive interest to NRI customers.
There will be a shock if you withdraw money before maturity, know these important rules
If you are also thinking of investing money in this new FCNR(B) Advantage Scheme of SBI, then carefully follow the rules of its pre-mature withdrawal i.e. withdrawal of money before time. Understand. Under this scheme, you will not be allowed to withdraw any money within the first one year of deposit. However, if you withdraw the money after completion of one year but before the end of the three-year period, you will be given interest only at the rate of 3.50 per cent. At the same time, if a customer withdraws his deposit midway after three years but before the completion of five years, he will get 1 percent less interest than the fixed interest rate for that period. Therefore, before investing, please check these time limit rules.