The Reserve Bank of India has addressed concerns about its foreign currency deposit mobilisation exercise, stating it will generate additional revenue. The central bank plans to invest the dollars raised in overseas government securities, earning interest income.

This investment strategy is expected to result in additional revenues for the central bank. The comments were made by RBI Governor Sanjay Malhotra, who noted that the dollars can be invested abroad to earn interest.

Further details about the central bank's management of surplus liquidity and its impact are available from the source. The RBI Governor's comments provide insight into the central bank's approach to managing record foreign currency inflows.