India's Foreign Exchange Reserves Dip to $691.11 Billion in March 2026
Why it matters
The Reserve Bank of India has published its 46th Half-Yearly Report on the Management of Foreign Exchange Reserves, detailing the period from October 2025 to March 2026. This report reflects a decrease in India's foreign exchange reserves, from USD 700.09 billion to USD 691.11 billion during these six months. The RBI has been releasing these reports semi-annually since February 2004 to foster greater transparency and disclosure in the management of the country’s foreign exchange reserves.
The dip observed is attributed to factors such as market interventions aimed at currency stabilization and valuation changes in non-dollar reserve components. The management of these reserves is vital for maintaining external sector stability and providing a buffer against economic shocks. The report offers insights into the composition and deployment of these reserves, which include Foreign Currency Assets (FCA), Gold, Special Drawing Rights (SDRs), and Reserve Position in the IMF.
| Metric | October 2025 Value | March 2026 Value |
|---|---|---|
| Total FX Reserves | USD 700.09 Billion | USD 691.11 Billion |
| Report Series | 46th Half-Yearly Report | Since Feb 2004 |
Glossary
Foreign Currency Assets (FCA): The largest component of forex reserves, comprising assets held in major foreign currencies like the US Dollar, Euro, and Yen.
Special Drawing Rights (SDRs): An international reserve asset created by the International Monetary Fund (IMF) to supplement its member countries' official reserves.
NaukriSync Exam Angle
Indian Economy: Key fact to memorise: India's foreign exchange reserves stood at USD 691.11 billion at the end of March 2026, as per the RBI's 46th half-yearly report. Most likely format: MCQ asking for the total reserve value or a statement-based question on the components of India's forex reserves (FCA, Gold, SDR, and RTP).