For the week ended May 26, the foreign currency assets, a major component of the reserves, declined by $4.014 billion to $520.931 billion, according to the Weekly Statistical Supplement released by the RBI on Friday.
Gold reserves increased by USD 38 million to USD 46.353 billion, the RBI said.
The overall reserves had dropped USD 2.164 billion to USD 584.248 billion in the previous reporting week. In October 2021, the country’s forex reserves had touched an all-time high of USD 645 billion.
The reserves have been declining as the central bank deployed the kitty to defend the rupee amid pressures caused majorly by global developments.
According to the Reserve Bank of India, gold reserves stood at Rs 3.75 lakh crore as on Mar 24, 2023, as against Rs 2.09 lakh crore as on Mar 20, 2020.
For the week ended April 14, the foreign currency assets, a major component of the reserves, increased by USD 2.204 billion to USD 516.635 billion, according to the Weekly Statistical Supplement released by the RBI.
The reserves have been declining as the central bank deployed the kitty to defend the rupee amid pressures caused by global developments.
For the week ended March 24, the foreign currency assets, a major component of the reserves, increased by USD 4.38 billion to USD 509.728 billion, according to the Weekly Statistical Supplement released by the RBI.
In the previous reporting week, the reserves had dropped by USD 2.39 billion to a three-month low of USD 560.003 billion.
Expressed in dollar terms, the foreign currency assets include the effect of appreciation or depreciation of non-US units like the euro, pound and yen held in the foreign exchange reserves.
In the previous reporting week, the overall reserves had declined $5.68 billion to $561.267 billion.
This is the third consecutive week of a drop in the reserves after the USD 8.319 billion decrease in the previous reporting week to USD 566.948 billion. In October 2021, the country’s forex kitty had reached an all-time high of USD 645 billion.
This is the second consecutive week that the country's reserves have risen. In the week to Jan. 13, the reserves stood at $572 billion.
The overall reserves had dropped by USD 571 million to USD 563.499 billion in the previous reporting week, snapping a five-week trend of an increase in the kitty.
While the RBI is no no stranger to exchange-rate volatility, what was notable was that its intervention morphed over the year -- from a more complex exercise involving heavy forward segment interference to a simpler spot market intervention.
Forex reserves rose by $11.02 billion to $561.162 billion for the week ending December 2.
In October 2021, the country's foreign exchange kitty had reached an all-time high of $645 billion.
Forex dealers said that gains may be limited as traders will be keenly watching the policies of major central banks as also the US inflation data.
During the week ending November 25, the forex reserve rose $2.89 billion to $550.14 billion.
The sentiment towards emerging markets is still cautious amid a tightening by the US Federal Reserve. The RBI may still predominantly be a seller of dollars in the coming weeks
Foreign currency assets consist of the effect of appreciation or depreciation of non-US currencies like the euro, pound, and the yen held in the foreign exchange reserves.
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The overall reserves, which have been on a declining spree, had dropped by $3.847 billion to $524.52 billion in the previous reporting week.
The foreign exchange reserves have dropped to their lowest level since July 2020.
India’s foreign exchange reserves are comfortable, experts said. From a record high of $642.45 billion on September 3, 2021, India’s forex reserves now stand at $528.37 billion