Delhi, December 21, 2024 (Punjab Khabarnama Bureau): India’s foreign exchange reserves dropped by USD 1.988 billion to USD 652.869 billion for the week ended December 13, according to data released by the Reserve Bank of India (RBI) on Friday. In the previous week, the reserves had fallen by USD 3.235 billion to USD 654.857 billion.
The decline in reserves has been ongoing for several weeks and is attributed to revaluation effects, along with the cental bank’s interventions in the foreign exchange market to reduce volatility in the rupee. India’s forex reserves had reached an all-time high of USD 704.885 billion in September.
For the week ending December 13, foreign currency assets, which are a major component of the reserves, decreased by USD 3.047 billion to USD 562.576 billion.
These assets reflect the impact of fluctuations in the value of non-US currencies like the euro, pound, and yen.
Meanwhile, gold reserves rose by USD 1.121 billion to USD 68.056 billion during the same period. Special Drawing Rights (SDRs) declined by USD 35 million to USD 17.997 billion, while India’s reserve position with the International Monetary Fund (IMF) fell by USD 27 million to USD 4.24 billion.
Summary: India’s foreign exchange reserves fell by $1.9 billion, reaching $652.86 billion, raising concerns about global market fluctuations and their impact on the economy.