India’s foreign exchange reserves surpassed $700 billion for the first time, reaching $704.89 billion for the week ending September 27, according to the Reserve Bank of India (RBI) data released on Friday. This marks a significant increase of $12.59 billion, the largest weekly rise since mid-July 2023. With this achievement, India joins China, Japan, and Switzerland as the only countries to cross the $700 billion threshold in foreign reserves.
The surge in reserves primarily came from foreign currency assets (FCAs), which increased by $10.4 billion to a total of $616 billion. Gold reserves also saw a boost of $2 billion, bringing their total to $65.7 billion. Additionally, Special Drawing Rights (SDRs) experienced a modest increase of $8 million, reaching $18.547 billion. However, India’s reserve position in the International Monetary Fund (IMF) declined slightly by $71 million, settling at $4.3 billion for the week.
Foreign inflows into India have reached $30 billion this year, and projections suggest further growth in forex reserves. This robust forex position is expected to strengthen India’s economic growth trajectory, attracting foreign investments and promoting domestic trade and industry.
Despite global economic challenges and geopolitical uncertainties, India’s forex reserves are at record levels. The Indian rupee has become the most stable currency among major economies. Strong domestic flows and positive foreign portfolio investor (FPI) flows into debt markets have contributed to these record levels. The substantial reserves will provide the RBI with greater flexibility in monetary policy and currency management, enhancing resilience across various economic sectors.
Also Read: Indian Equity Market Plummets, Investors Lose Over Rs 14 Lakh Crore Amid West Aisa Conflict
For Maha Kumbh 2025, preparations are in full swing as authorities work to ensure all…
Prime Minister Narendra Modi wrapped up his two-day visit to Kuwait on Sunday evening. In…
Maha Kumbh 2025 with preparations for the Maha Sammelan are in full swing as 13…
The MRM strongly endorsed Rashtriya Swayamsevak Sangh (RSS) chief Mohan Bhagwat’s statement on temple-mosque disputes.…
For Maha Kumbh-2025, the Prayagraj Mela Authority has made extensive preparations to provide a clean…
Prime Minister Narendra Modi is all set to attend the Christmas celebrations at CBCI Centre…