AU Small Finance Bank Increases Deposit Rates for NRIs

AU Small Finance Bank (AU SFB) in India has announced an increase in interest rates for its Foreign Currency Non-Resident (FCNR) deposits and Non-Resident External (NRE) fixed deposits. The revised rates, effective July 27, 2026, are intended to enhance the bank's appeal to non-resident Indian customers.

The bank has raised the peak interest rate on FCNR(B) Deposits for a tenure of 3 to 4 years from 7.10% per annum to 7.40% per annum. Concurrently, NRE Fixed Deposit rates for the tenure of 36 Months 1 Day to 45 Months have been revised from 7.00% per annum to 7.60% per annum.

These adjustments are happening in the context of increased flexibility provided by the Reserve Bank of India (RBI) for banks to offer more competitive rates on foreign currency deposits. This allows AU SFB to provide a more attractive proposition for NRIs looking to grow their earnings while mitigating currency exchange risks.

In addition to the revised interest rates, AU SFB continues to offer services such as zero forex margin and zero bank charges on eligible remittances. The bank aims to serve both new and existing customers through its digital platforms and physical branches across India.