India’s foreign exchange reserves rises $4.5 billion to reach $674.7 billion
- 23 Aug 2024
India’s foreign exchange reserves increased by US$4.546 billion, reaching US$674.664 billion, just below their all-time high, during the week ending 16th August, according to data released by the Reserve Bank of India (RBI) on Friday.
Asian News International (ANI) reported that the previous record high was US$674.919 billion.
The reserves have been fluctuating for some time. In 2024 alone, they have risen by approximately US$45-50 billion cumulatively. This buffer of foreign exchange reserves helps insulate domestic economic activity from global shocks.
According to the latest data from the RBI, India’s foreign currency assets (FCA), the largest component of forex reserves, rose by US$3.609 billion to US$591.569 billion.
Gold reserves during the week increased by US$865 million, bringing the total to US$60.104 billion. India’s foreign exchange reserves are now sufficient to cover more than 11 months of projected imports.
The RBI closely monitors the foreign exchange markets and intervenes only to maintain orderly market conditions, aiming to contain excessive volatility in the exchange rate.
WAM
