India’s foreign exchange reserves surged by USD 6.55 billion to reach USD 625.626 billion for the week ending March 1, according to the Reserve Bank of India’s announcement on Friday. In the previous week, the reserves had increased by USD 2.975 billion, reaching USD 619.072 billion.
It’s notable that in October 2021, India’s forex reserves hit a record high of USD 645 billion. However, the reserves experienced a decline as the central bank utilized them to stabilize the rupee amidst pressures stemming largely from global developments over the past year.
For the week ending March 1, the data revealed that foreign currency assets, a significant component of the reserves, rose by USD 6.043 billion to USD 554.231 billion. This figure includes the impact of currency fluctuations of non-US currencies such as the euro, pound, and yen held within the forex reserves.
Furthermore, the RBI reported an increase in gold reserves by USD 569 million, reaching USD 48.417 billion during the same week.
On the other hand, Special Drawing Rights (SDRs) witnessed a decline by USD 17 million to USD 18.18 billion, as stated by the central bank. Additionally, India’s reserve position with the International Monetary Fund (IMF) decreased by USD 41 million, standing at USD 4.798 billion for the reporting week, according to the RBI data.
