INDIAN BANK CD ISSUANCE PLUMMETS IN JULY AS FCNR DEPOSIT INFLOWS SURGE

Issuance of Certificates of Deposit (CDs) by Indian banks plunged to just ₹3,625 crore in July, a sharp drop from ₹51,835 crore in the previous month. The decline in this key short-term funding tool coincides with a surge in Foreign Currency Non-Resident (FCNR-B) deposits. Banks are capitalizing on relaxed central bank norms to attract more stable foreign currency deposits.