India’s Foreign Currency Reserves Surge to USD 641.59 Billion, RBI Data Reveals

Khushbu Kumari Jha
India Foreign Currency Reserves Surge to USD 641point 59 Billion RBI Data Reveals
India Foreign Currency Reserves Surge to USD 641point 59 Billion RBI Data Reveals

Stay updated on India’s economic front with the latest news on the country’s foreign currency reserves. Discover how recent increases in reserves, as reported by the Reserve Bank of India.

In a positive development for the country's economy, India's foreign currency reserves witnessed a notable increase, reaching $641.59 billion in the week ending May 3, as per data released by the Reserve Bank of India (RBI) on Friday. This surge marks a significant turnaround after three consecutive weeks of decline.

Previously, in the week ending April 26, the nation's foreign exchange reserves experienced a dip, falling by $2.41 billion to $637.92 billion. However, following a series of weeks with an upward trajectory, reserves had reached a record high of $648.56 billion in the week ending April 5.

The latest data from the RBI reveals a $4.46 billion increase in Foreign Currency Assets (FCA), a crucial component of the country's currency reserves, totaling $564.16 billion. FCA, denominated in various currencies including the US dollar, considers fluctuations in non-US currencies such as the euro, pound, and yen.

Despite the overall increase in foreign currency reserves, the value of gold reserves witnessed a decline, decreasing by $653 million to $54.88 billion during the same reporting week. Additionally, Special Drawing Rights (SDR) saw a modest rise of $2 million to $18.05 billion, while India's reserve position with the International Monetary Fund (IMF) decreased by $140 million to $4.49 billion.

The uptick in India's foreign currency reserves presents a positive outlook for the country's economic stability and resilience, providing a cushion against external financial uncertainties amidst global economic fluctuations.