The Reserve Bank of India (RBI) has announced that the FCNR (B) deposit facility will close a month before schedule, reversing its earlier stance. The decision comes after the RBI had said it would not end the program prematurely.

In equity markets, attention is on refiners as the government directs them to ramp up cooking gas production amid uncertainty over the Strait of Hormuz. Asian stocks are little changed on Monday, and the Nifty 50 capped its first weekly drop in three weeks on Friday. Traders are also watching the upcoming FOMC minutes for signals on the Federal Reserve’s policy outlook; a hawkish stance could tighten emerging‑market flows, affecting Indian stocks and the rupee.

The early closure of the FCNR window is expected to tighten foreign currency inflows and could influence bond yields, adding further pressure on the rupee. Investors will monitor RBI policy and global interest‑rate developments closely to gauge the impact on emerging‑market sentiment.

Overall, the RBI’s move signals a more cautious approach to foreign‑currency deposits, with potential ramifications for currency, equity, and bond markets in India.