AU Small Finance Bank also provides zero forex margin and waives bank charges on eligible remittances, further enhancing its value proposition for NRI customers.
UAE: AU Small Finance Bank, India’s largest Small Finance Bank and the first institution in over a decade to receive in-principle approval from the Reserve Bank of India (RBI) to become a Universal Bank, has revised its Foreign Currency Non-Resident (FCNR-B) deposit rates, raising the peak USD rate from 5.15% to 7.10% per annum effective June 10, 2026.
Available in US Dollars, FCNR deposits offer NRIs a fully repatriable investment option with tax-free income in India on both principal and interest, while providing attractive returns on overseas savings.
AU Small Finance Bank has raised its FCNR (B) deposit rates, increasing the peak rate from 5.15% to 7.10%, while also highlighting that FCNR deposits carry semi-annual interest payouts.
AU Small Finance Bank has further strengthened its NRI banking proposition by introducing zero forex margin and waiving bank charges on eligible inward and outward remittances. Under this offering, customers receive currency conversion at the bank’s Interbank Reference Rate (IBR) without any additional transaction fees, making overseas money transfers more cost-efficient.
The bank, founded in 1996 by first-generation entrepreneur Sanjay Agarwal, said this structure places it among a select group of private lenders in India that have removed embedded forex mark-ups from such transactions.
For detailed tenure-wise FCNR rates, more information is available here: AU FCNR Interest Rates
