Indian Forex Reserves Surge Towards a Record High

MUMBAI, India – The upward trajectory of the Indian foreign exchange reserves continues during the closing of the third trading week.

The Indian foreign exchange reserves reached another milestone, a new record high after it topped the gains from previous trading weeks according to official data.

The upward trajectory of Indian reserves started with the trading week ended on December 13. Based on the official report from the IANS on Friday, India’s foreign exchange reserve at the end of the week has reached $1.07 billion.

On that week, the weekly statistical data that the Reserve Bank of India publishes has shown an optimistic increase for the country’s foreign exchange reserves. Based on the statistical supplement from the band, the overall forex reserves of India during that week have already increased significantly to $454.49 billion compared to the reported numbers in the week ended December 6, which was only at $453.42 billion.

The foreign exchange reserves of India comprises of FCAs (foreign currency assets), SDRs (special drawing rights), gold reserves, and the reserve position of India with the International Monetary Fund (IMF).

Based on the weekly numbers, the largest component of the foreign exchange reserves of the country, which is the foreign currency assets also tracked advances. The FCA’s of India increased by $1.16 billion to settle at $42242 billion overall.

However, the weekly data from the Reserve Bank of India showed a declining trend for the value of the gold reserves of the country. From its previous overall valuation, it was down by around $110 million towards $26.96 billion overall.

In reverse, the special drawing rights of the country inched higher. It recorded an overall valuation of $1.44 billion, advancing by $2 million from the previous week. The reserve position of India with the International Monetary Fund has also tracked an increase, going up by $14 million for the week to settle at $3.65 billion.

The gains of the foreign exchange reserves of the country from the previous two weeks continued its upward trend this week. Based on earlier reports, the foreign exchange reserves on India is already marking a weekly gain of around $347 during this week ended November 22. Weekly statistical supplement from the Bank of India further solidified the increase in the country’s forex reserves.

Based on the statistical report from the bank, the overall foreign exchange reserves of the country have already reached $448.59 billion on Friday, which is significantly greater from the reported overall valuation for the week ended November 15, which was only at $448.3 billion.