HSBC offers 19x FCNR(B) leverage in GIFT City

HSBC's IFSC Banking Unit in GIFT City is offering leveraged FCNR(B) deposit structures to NRIs, with up to 19 times leverage allowing a $100,000 equity contribution to create a $2 million deposit and generate indicative annual returns of about 12-14 percent. The product leverages the RBI's temporary relaxation of interest rate ceilings on three-to-five year FCNR(B) and NRE deposits along with a concessional forex swap window, valid until September 30, 2026, aimed at attracting overseas dollar deposits. State Bank of India is also offering similar leveraged structures with up to around nine times leverage.