India's forex reserves hit 1-month high, rise $2.58 billion to $586.11 billion: RBI Data
foreign exchange reserves declined to $583.532 billion, during the previous week. As per RBI, the gold reserves were up by $499 million to $45.923 billion during the week while the Special Drawing Rights (SDRs) stood at $17.91 billion, down $15 million during the week.
Moreover, India's reserve position with the International Monetary Fund (IMF) was down by $208 million to $4.773 billion during the week under review. India's foreign exchange is still far from the all-time high level of $645 billion achieved in October 2021.
As the geopolitical situations worsened, the central bank had to deploy forex reserves to defend the rupee which was plunging sharply against the dollar. The growth in India's forex kitty comes as the rupee continues its neutral stance, remaining little changed over the week.
On Friday, India's domestic currency declined 5 paise against the dollar to end at 83.29 compared to the previous close of 83.24. The dollar index, a metric that assesses the strength of the US dollar relative to a basket of six different currencies, was experiencing a 0.17% decrease and was trading at a level of 105.94.
The domestic currency remained stable during the week within the range of 83.18 to 83.29. (With inputs from agencies)Milestone Alert!
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