India's forex reserves witness sharpest weekly slump in over 11 months
New Delhi, February 19: India's foreign exchange reserves fell by USD 8.319 billion to USD 566.948 billion in the week ending on February 10, the Reserve Bank of India's latest data revealed.
This is the sharpest drop in overall forex reserves in over 11 months, according to reports. The reserves fell by USD 1.494 billion to USD 575.267 during the week ending February 3.
According to the most recent data from the Reserve Bank of India, India's foreign currency assets, the largest component of its forex reserves, fell by USD 7.108 billion to USD 500.587 billion.
The value of gold reserves fell by USD 919 million to USD 42.862 billion.
Also Read | BSF shoots down Pak drone in Gurdaspur, seizes narcotics
The overall forex reserves were around USD 633 billion at the start of the last year 2022. Much of the decline can be attributed to the RBI's intervention and recent increases in the cost of imported goods.
According to reports, the country's foreign exchange reserves reached an all-time high of approximately USD 645 billion in October 2021.
The RBI's intervention in the market to defend the depreciating rupee against a surging US dollar had caused the forex reserves to fall intermittently for months.
Typically, the RBI will intervene in the market from time to time through liquidity management, including the selling of dollars, in order to prevent a sharp depreciation of the rupee.
Also Read: S Jaishankar slams George Soros, calls him ‘old, rich, dangerous’
- ANI
