Overseas Indians’ remittance jumps 79% to $4bn in June quarter

Total outstanding NRI deposits stand at $155.71 billion

MUMBAI: Overseas Indians’ remittances into Non-Resident Indian (NRI) deposit schemes reached approximately $4 billion during April–June FY25, marking a 79% increase compared to the same period last year, according to data released by the Reserve Bank of India (RBI) on Monday.

During the April–June FY25 period, inflows into NRI schemes reached $3.95 billion, up from $2.21 billion in the same period the previous year.

This brought the total outstanding NRI deposits to $155.71 billion as of June. In June alone, inflows into various NRI schemes amounted to $1.23 billion, down from $1.7 billion in May.

The NRI deposit schemes include Foreign Currency Non-Resident (FCNR) deposits, Non-Resident External (NRE) deposits, and Non-Resident Ordinary (NRO) deposits.

FCNR (B) deposits

The majority of the inflows during the April–June FY25 period were directed into FCNR (B) deposits, with around $1.68 billion deposited, compared to $1.12 billion during the same period last year.

The total outstanding amount in FCNR (B) accounts now stands at $27.41 billion. FCNR (B) accounts allow customers to maintain fixed deposits in India in freely convertible foreign currencies for a tenure ranging from one to five years, protecting the funds from currency fluctuations.

NRE deposits also saw significant growth, with $1.53 billion in inflows during this period, up from $489 million a year earlier.

NRE deposits

The total outstanding NRE deposits now approach $100 billion. NRE deposits are rupee-denominated accounts that offer high returns for NRIs looking to invest their foreign income in India.

Similarly, NRO deposits attracted substantial inflows of $743 million during April–June FY25, compared to $598 million in the same period the previous year, bringing the total outstanding NRO deposits to $28.24 billion.

NRO accounts are rupee-denominated bank accounts for NRIs, persons of Indian origin, and overseas citizens of India who wish to deposit income earned in India.