India's forex reserves rise by $7.2 bln to reach at 11-month high, nears $600 bln

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India's forex reserves rise by $7.2 bn to reach at 11-month high, nears $600 bn

India's forex reserves has inched closer to critical psychological mark of $600 billion in the latest week that ended on May 5, 2023. Foreign currency assets is the major booster to the reserves.

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India's forex reserves inched closer to the $600 billion mark by rising $7.196 billion in the week that ended on May 5, 2023, to $595.976 billion. This would be the second consecutive weekly rise in reserves. Except for SDRs, all other indicators gained traction in the week under review with foreign currency assets (FCA) being the biggest contributor.
As per RBI's weekly statistical data, total foreign exchange reserves jumped by $7.196 billion to $595.976 billion in the week that ended on May 5, 2023. In the previous week, reserves had climbed by $4.532 billion.

With that, forex reserves are currently at an 11-month high.
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In the week under review, FCA soared by $6.536 billion to $526.021 billion. In the week that ended April 28, FCA picked up by $4.996 billion.

Further, gold reserves advanced by $659 million to $46.315 billion. While the reserve position at IMF zoomed by $139 million to $5.192 billion. On the other hand, SDRs declined by $204 million to $18.447 billion.

India's forex reserves were at an all-time high of $645 billion in October 2021. To tame rupee depreciation, RBI has been intervening in the forex market via both spot and forward positions.