FEMA and Banking
RBI has raised the interest rate ceilings on Foreign Currency (Non-resident) Accounts (Banks) [FCNR(B)] deposits for banks, effective from December 06, 2024, until March 31, 2025. For deposits with a maturity of 1 year to less than 3 years, the ceiling is the Overnight Alternative Reference Rate (ARR) of the respective currency plus 400 basis points. For deposits with a maturity of 3 years to 5 years, the ceiling is ARR plus 500 basis points.
Circular No. RBI/2024-25/94 DOR.SPE.REC.NO.51/13.03.00/2024-2025 dated 06.12.24
