Higher interest rates on FCNR(B) deposits for NRIs: Check latest NRE FD rates in SBI, HDFC Bank, Axis Bank, PNB

In its Monetary Policy Committee (MPC) meeting last week, the Reserve Bank of India (RBI) raised the cap on FCNR (B) deposit rates for the 1-3 year tenor from Alternate reference rate (ARR) + 200 bps to AAR + 400 bps to stimulate foreign currency inflows. The cap will remain in place until March 2025.

A ‘Non-Resident Indian’ (NRI) is a citizen of India who resides outside India. An NRI account can be opened jointly with a resident Indian on a former or survivor basis. There are different types of NRI accounts, including Non-Resident External (NRE), Non-Resident Ordinary (NRO), and Foreign Currency Non-Resident (FCNR) accounts.

For NRIs looking to invest and retain their foreign currency while simultaneously earning high returns, FCNR (B) accounts can be a great choice. Most banks book FCNR deposits in the US Dollars, Pounds Sterling, Euro, Japanese Yen, Australian Dollars, Canadian Dollars.


Here is a look at the FCNR (B) rates of prominent banks like ICICI Bank, SBI, Canara Bank and Union Bank of India.

SBI FCNR rates

CURRENCY	USD	GBP	EURO	CAD	AUD	JPY
PERIOD OF THE DEPOSIT	RATE	RATE	RATE	RATE	RATE	RATE
1 year	5.2	4.85	3.75	4	4.5	0.15
Above 1 year to less than 2 years	5.2	4.85	3.75	4	4.5	0.15
2 years to less than 3 years	4.5	4.75	1.5	3.75	4.4	0.15
3 years to less than 4 years	4.25	3.75	1.5	3.5	4.3	0.15
4 years to less than 5 years	3.8	3.75	1.5	3.55	4.2	0.05
5 years	3.9	3.65	1.5	3.6	4.1	0.05

ICICI Bank FCNR rates

Currency	USD < 400000	USD >= 400000 to < 50000000	USD >=50000000	SGD	GBP	AUD	CAD
12 months < 24 months	4.75	5.25	5.5	3.25	4.75	4.4	3.75
>= 24 months < 36 months	4	4	4	2.75	4	3.75	3.3
>= 36 months < 48 months	3.65	3.65	3.65	NA	NA	NA	NA
>= 48 months < 60 months	3.3	3.3	3.3	NA	NA	NA	NA
60 months	3.3	3.3	3.3	NA	NA	NA	NA

Indian Bank FCNR rates

RENCY	PERIOD
	1 Yr to <2 Yrs	2 Yrs & above to < 3 Yrs	3 Yrs & above to < 4 Yrs	4 Yrs & above to < 5 Yrs	Exactly
					5 Years
USD	5.50*	4.3	3.95	3.95	3.95
	-5.8	-4.3	-3.95	-3.95	-3.95
GBP	4.75	3.2	3.25	3.25	3.25
	-4.95	-3.2	-3.25	-3.25	-3.25
EUR	1.5	1.9	1.6	1.6	1.65
	-2	-1.9	-1.6	-1.6	-1.65
JPY	0	0.13	0.12	0.13	0.14
	-0.11	-0.13	-0.12	-0.13	-0.14
CAD	4	4.1	3.9	3.7	3.5
	-4.5	-4.1	-3.9	-3.7	-3.5
AUD	3.6	3.5	2.05	2.3	2.45
	-4.4	-3.5	-2.05	-2.3	-2.45
CHF	0	0.01	0.02	0.03	0.05
	0	-0.01	-0.02	-0.03	-0.05
SGD	3.6	0.4	0.49	0.55	0.61
	-3.95	-0.4	-0.49	-0.55	-0.61

*Additional interest of 0.1% for single deposit of USD 1 million and above for 1 yr to < 2 yr tenor is applicable.

Canara Bank FCNR rates

CURRENCY OF DEPOSIT
PERIOD OF DEPOSIT	USD <100000	USD>=100000	GBP	EURO	CAD	AUD
1 year to less than 2 years	5.35	5.4	5	3	4.5	4
2 years to less than 3 years	4	4	3	2	4	3.5
3 years to less than 4 years	3.7	3.7	2.5	1.5	3.85	3
4 years to less than 5 years	3.5	3.5	2.5	1.5	3.5	3
5 years	3.5	3.5	2.5	1.5	3.5	3

Here is a look at the latest NRE FD interest rate of big banks.
(NRE FD interest rates as on December 9, 2024; interest rates from bank websites.)

SBI NRE FD rates
SBI offers NRE FD rates between 6.80% to 7.25% for tenure ranging from 1 year to 10 years. NRE term deposit with effect from July 15, 2024.

HDFC Bank NRE FD rates
The minimum tenor for NRE Deposit is 1 year. The interest rate ranges from 6.60% to 7.40% for tenure from 1 year to 10 years. The rates are effective from July 24, 2024.
Axis Bank NRE FD rates
The interest rate ranges from 6.70% to 7.25% for tenures from 1 year to 10 years. The rates are effective from December 9, 2024.

PNB NRE FD rates
The interest rate ranges from 6.80% to 7.25% for tenures from 1 year to 10 years. The rates are effective from August 1, 2024.