India’s foreign exchange reserves decreased by $4.8 billion to $670.119 billion for the week ending August 9, according to the latest data from the Reserve Bank of India (RBI). This follows a previous week when reserves had surged by $7.533 billion to a record high of $674.919 billion.
For the week ending August 9, foreign currency assets, a key component of the reserves, fell by $4.079 billion to $587.96 billion. These assets reflect changes in the value of currencies other than the US dollar, such as the euro, pound, and yen.
Gold reserves also saw a decline, dropping by $860 million to $59.239 billion. Meanwhile, special drawing rights (SDRs) increased by $121 million to $18.282 billion.
India’s reserve position with the International Monetary Fund (IMF) rose by $18 million to $4.638 billion during the same period.
Sanjeev Agrawal, President of the PHD Chamber of Commerce and Industry, commented on the data:
“Despite global economic challenges and geopolitical uncertainties, India’s strong performance, supported by strategic policies and a cautious monetary approach, has maintained forex reserves at $670 billion as of August 9, 2024.”
He added, “This positions India for higher economic growth, enhances its global standing, attracts foreign investments, and strengthens domestic trade and industry.”
Agrawal also noted that the substantial reserves give the RBI increased flexibility in managing currency and monetary policy.
