India's Foreign Exchange Reserves Dip by $7.79 Billion to $690.69 Billion
Why it matters
The RBI's latest Weekly Statistical Supplement shows a contraction in India's total reserves. Foreign Currency Assets (FCA), the largest component of the reserve basket, settled at $551.82 billion. Gold holdings saw a marked weekly valuation decrease, falling to $115.21 billion.
These figures are provisional and reflect fluctuations typical in global valuation and central bank liquidity management. Other components remained relatively stable, with Special Drawing Rights (SDRs) rising slightly by $15 million to $18.79 billion, and the Reserve Position in the IMF increasing to $4.86 billion.
| Component | Value (US$ Million) | Weekly Variation (US$ Mn) |
|---|---|---|
| Total Reserves | 690,693 | -7,794 |
| Foreign Currency Assets | 551,825 | -2,797 |
| Gold | 115,216 | -5,021 |
| SDRs | 18,789 | +15 |
Glossary
Foreign Currency Assets (FCA): Reserves held in currencies other than the domestic currency, including foreign government bonds and securities.
SDR (Special Drawing Rights): An IMF-allocated reserve asset that supplements official reserves, based on a basket of major global currencies.
NaukriSync Exam Angle
Indian Economy: Memorize the components of India’s forex reserves (FCA, Gold, SDRs, and IMF Reserve Position). FCA remains the largest component. The RBI reports these data points weekly, making them relevant for tracking external sector stability.