Rupee support from FCNR(B) window could help stabilise travel costs, says Thomas Cook CEO
Aug 04, 2026
New Delhi [India], August 4 : The special USD-Rupee forex swap facility introduced by the Reserve Bank of India allowing banks to mobilize tax-free Foreign Currency Non-Resident [FCNR(B)] deposits from Non-Resident Indians (NRIs) at higher interest rates could boost forex inflows by offering NRIs interest rates of up to 7.1 per cent on long term USD deposits and helping support the rupee and travel cost according to Mahesh Iyer - Managing Director & CEO, Thomas Cook (India) Limited.
Iyer noted that the cost of international travel is linked directly to input costs and the relative value of the Rupee. "This is a welcome move - helping stabilize prices across leisure, business and incentive travel besides our Forex business," he said.
"Under the new FCNR (B) USD- Rupee swap window scheme, NRIs stand to benefit from high interest rates of up to 7.1 per cent p.a. on USD deposits from a historical 3 per cent - 4 per cent anually, on long term deposits (3 - 5 years' tenor) which should result in higher Forex inflows. This is one of the many initiatives undertaken by the Government through the RBI to help arrest the slide of the Rupee Vs the Dollar," said Iyer.
Meanwhile, Thomas Cook (India) Limited's Q1 FY27 results showed continued growth in its digital forex business, with WhatsApp transactions rising 84 per cent YoY in Q1 FY26. The omnichannel travel company posted its Q1 FY27 results on Monday.
As per the release, the company's forex business through digital channels has continued to expand with WhatsApp transactions rising 84 per cent YoY to over Rs 1,026 million in Q1 FY27 from Rs 559 million in Q1 FY26.
At the same time, its app bookings grew nearly threefold to over 840 transactions from 223, while website bookings increased 38 per cent YoY to over 1,200 from 866. Video KYC transactions surged ninefold to over 1,500 from 160. Digital adoption through DFC and FX Mate also improved to 23.5 per cent in Q1 FY27 from 21.6 per cent a year earlier.
On the retail front, the company operationalised forex counters at Delhi Airport T2 in June and T1 in July 2026, while closing branches in Guwahati, Jaipur and Margao as part of network optimisation. It also expanded its prepaid Forex Card portfolio to 28 currencies, adding 16 new global currencies.
The company's consolidated total income declined 12 per cent YoY to Rs 21,530 million in Q1 FY27, while consolidated PBT fell 21 per cent to Rs 885 million. However, excluding GCC-based subsidiaries DEI and Desert Adventures, the Group's EBIT grew 8 per cent YoY during the quarter. The Group maintained a strong financial position, with cash and short-term investments rising to Rs 26,488 million as of June 30, 2026, from Rs 26,162 million as of March 31, 2026.
