India’s forex reserves dropped $5.654 billion to $666.933 billion during the week ended June 26, the RBI said on Friday.In the previous reporting week, the kitty jumped $963 million to $672.587 billion.
The kitty had expanded to an all-time high of $728.494 billion during the week ended February 27 this year before the onset of the West Asia conflict, which led to several weeks of a drop as the rupee came under pressure and the RBI had to intervene in the forex market through dollar sales.
Prime Minister Narendra Modi has also made multiple public appeals, starting May 11, to countrymen to conserve forex by cutting down on foreign travel, limiting fuel use and refraining from gold buys for a year.
For the week ended June 26, foreign currency assets, a major component of the reserves, decreased $150 million to $541.067 billion, the central bank’s data showed.Expressed in dollar terms, the foreign currency assets include effects of appreciation or depreciation of non-US units, such as the euro, pound, and yen, held in foreign exchange reserves.Value of gold reserves declined $5.394 billion to $102.536 billion during the week, the RBI said.The special drawing rights (SDRs) were down by $89 million at $18.558 billion, the apex bank said.India’s reserve position with the IMF was also down $21 million to $4.772 billion at the end of the reporting week, according to the apex bank’s data.Also Read: India aims to cross $1 trillion in exports this year; Goyal urges firms to look beyond home market
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