RBI sold $1.929 billion in spot forex market in November: Bulletin

Reserve Bank of India

The Reserve Bank of India (RBI) sold $1.929 billion in the spot foreign exchange market in November, according to the central bank’s monthly Bulletin.

The central bank in the Bulletin said that it purchased $ 34.99 billion and sold $ 36.92 billion during the period. In October, the central bank had sold a net of $310 million in the spot market.

The RBI Bulletin is a monthly publication that offers insights into the developments in domestic and global economies but doesn’t represent the views of the central bank.

The Indian rupee (INR) appreciated moderately by 0.02 per cent (m-o-m) vis-à-vis the US dollar in December 2023. Moreover, the INR was one of the
least volatile currencies, Bulletin said.

The INR depreciated by 1.2 per cent (m-o-m) in terms of 40-currency real effective exchange rate (REER) in December 2023.

With net capital inflows - dominated by foreign portfolio investment and banking capital exceeding the CAD, there was an accretion of foreign exchange reserves to the tune of US$ 2.5 billion (on a
BoP basis) during the quarter.