RBI: Forex Reserves Surge to $641.59B
The RBI reported that after three consecutive weeks of decline, India’s forex reserves rebounded by $3.668 billion to reach $641.59 billion for the week ending on May 3. The overall reserves decreased by $2.412 billion to $637.922 billion for the preceding week ending on April 26. On April 5, the reserves had reached a record high of $648.562 billion, following several weeks of growth since surpassing the previous peak in September 2021 earlier in March. For the week ending on May 3, the data released on Friday indicated that foreign currency assets, a significant component of the reserves, rose by $4.459 billion to $564.161 billion.
In terms of dollars, the foreign currency assets encompass the impact of the appreciation or depreciation of currencies other than the US dollar, such as the euro, pound, and yen, held within the foreign exchange reserves, as stated by the Reserve Bank of India. The RBI reported a decrease in gold reserves by $653 million to $54.88 billion during the week. Additionally, the apex bank noted an increase of $2 million in Special Drawing Rights (SDRs) to $18.051 billion. According to the data, India’s reserve position with the IMF decreased by $140 million to $4.499 billion in the reporting week.
