India’s forex reserves up by $4.03 billion to $698.26 billion in week ending Sept 5

The reserves had earlier increased by $3.51 billion to $694.2 billion for the week ended August 29.

For the week ended September 5, foreign currency assets (FCAs), the largest component of the reserves, were up by $0.54 billion to $584.47 billion, the RBI data showed. In dollar terms, FCAs also reflect the impact of movements in non-US currencies such as the euro, pound and yen held in the reserves.

Gold reserves were up by $3.53 billion, standing at $90.29 billion during the reporting week. Meanwhile, SDRs in the last week were down by $34 million to reach at $18.74 billion.

India’s reserve position with the International Monetary Fund (IMF) rose by $2 million to stand at $4.75 billion, as per the data

The RBI, from time to time, intervenes in the forex market through liquidity operations, including the sale of dollars, to curb sharp volatility in the rupee. Officials emphasize that such interventions are aimed at maintaining orderly market conditions rather than targeting a specific exchange rate level or band.

Add as a Reliable and Trusted News Source