ICICI Bank has emerged as the top private-sector lender in India's push to attract dollar deposits from non-resident Indians, securing approximately $3.7 billion under the central bank's special scheme.
Government data released Monday shows the private lender significantly outpacing its peers, including HDFC Bank and Axis Bank, which each raised about $1.5 billion.
State Bank of India, the country's largest public-sector bank, also remains a major beneficiary of the inflow, having attracted more than $1.
State Bank of India, the country's largest public-sector bank, also remains a major beneficiary of the inflow, having attracted more than $1.5 billion since the facility launched last month.
The rapid uptake underscores the appetite among overseas Indians for higher-yielding instruments as Indian banks compete for foreign currency liquidity.
The scheme, which allows banks to offer attractive interest rates on five-year Foreign Currency Non-Resident (B) deposits, has seen accelerated participation following the government's decision to extend its subsidy support.
This move aims to bolster India's foreign exchange reserves while providing a stable funding source for banks amid global rate volatility.