RBI’s 46th Half-Yearly Report Shows India’s Forex Reserves at USD 691.11 Billion
Why it matters
The Reserve Bank of India has released its 46th Half-Yearly Report on the Management of Foreign Exchange Reserves, continuing a disclosure practice established in February 2004 to ensure institutional transparency. The report tracks the portfolio's movement from October 2025 to March 2026, a period marked by a decline in the total reserve chest from USD 700.09 billion to USD 691.11 billion.
Such fluctuations typically stem from the RBI’s tactical interventions in the currency market to curb Rupee volatility and the periodic revaluation of gold and non-dollar assets. Despite the marginal dip, India maintains a formidable external buffer with an import cover exceeding 10 months. The central bank continues to prioritize safety and liquidity, deploying the bulk of these assets into sovereign treasury bills of major global economies and deposits with top-tier overseas commercial banks.
- Reporting Period: October 2025 to March 2026.
- Reserve Movement: A decrease of USD 8.98 billion over six months.
- Historical Context: Reporting started in February 2004 to enhance public disclosure.
- Asset Deployment: Focus remains on high-liquidity sovereign debt and international bank deposits.
Glossary
Foreign Exchange Reserves: Portfolio of foreign assets including currencies, gold, and Special Drawing Rights (SDRs) held by the central bank.
Import Cover: An economic indicator measuring the number of months of imports a country can afford using its existing forex reserves.
NaukriSync Exam Angle
Indian Economy. Key data point: India’s forex reserves stood at USD 691.11 billion as of March 2026. Examiners often target specific figures from these biannual reports or the inception date of the reporting practice (February 2004). This report is the primary source for understanding the composition and deployment of India's external wealth.