GlobalIndianNRI · globalindiannri.com
Free NRI calculator
NRE FD vs. Foreign Currency Effective Return Calculator
NRE FD interest is tax-free in India, but the rupee usually weakens. Compare what you actually get back in your home currency against a deposit in a US, UK or UAE bank.
Advertisement
NRE FD value in USD
$56,513
Kept in USD bank (pre-tax)
$56,243
NRE effective yield in USD
4.17% p.a.
NRE FD wins by $270 over 3 years. Interest from a US or UK bank is taxable in those countries; NRE interest is tax-free in India but US and UK residents must still report it at home. UAE residents pay no tax on either.
Value in USD by year
| Year | Assumed ₹ per USD | NRE FD in USD | USD bank |
|---|---|---|---|
| 1 | ₹86.93 | $52,083 | $52,000 |
| 2 | ₹89.54 | $54,253 | $54,080 |
| 3 | ₹92.23 | $56,513 | $56,243 |
Want zero currency risk? An FCNR(B) deposit keeps your money in USD and its interest is also tax-free in India.
Advertisement
Estimates only, based on rules as understood in November 2026. Surcharge, cess, exemptions and treaty benefits depend on your full facts. Confirm with a qualified CA/CPA. Disclaimer