After Three Weeks of Decline, India's Foreign Exchange Reserves Rebound To $700 Mn
India's foreign exchange reserves witnessed a rise from USD 602.161 million to USD 708 million in the week ending on 11 August, as confirmed by the Reserve Bank of India (RBI).
This marks the first upswing in reserves following a consecutive three-week decline. In the prior update, the total reserves had diminished by USD 2.417 billion, settling at USD 601.453 billion. In October 2021, the nation's foreign exchange reserves reached an unprecedented peak of USD 645 billion.
The reserve had encountered depletion as it was utilised by the central bank to safeguard the rupee amid pressures stemming largely from global developments over the past year.
In the week ending 11 August, the foreign currency assets, a primary component of the reserves, surged by USD 999 million to reach USD 534.399 billion. This information was released in the Weekly Statistical Supplement issued by the RBI.
The foreign currency assets encompass the impact of non-US currency units like the euro, pound, and yen, accounting for their appreciation or depreciation within the foreign exchange reserves. The RBI's report also indicated that Gold reserves diminished by USD 340 million, settling at USD 44.34 billion.
The Special Drawing Rights (SDRs) experienced a growth of USD 51 million, reaching USD 18.324 billion. In the reported week, the nation's reserve position with the International Monetary Fund (IMF) declined by USD 2 million, resting at USD 5.098 billion, according to data from the apex bank.
