India's forex reserves declined by $2.16 bn to $584.24 bn
1 min read . Updated: 28 Apr 2023, 06:46 PM IST
PremiumFor the week ended April 21, the foreign currency assets, a major component of the reserves, declined by $2.146 billion to $514.489 billion
India's foreign exchange reserves eased from over-nine-month highs and stood at $584.25 billion for the week ended April 21, the Reserve Bank of India's (RBI) statistical supplement showed on Friday.
India's forex reserves declined by $2.16 billion from the previous week. The forex reserves had gone up by a total of nearly $8 billion in the prior two weeks.
In the previous reporting week, the forex reserve had risen by $1.657 billion to $586.412 billion.
It can be noted that in October 2021, the country's forex kitty had reached an all-time high of $645 billion. The reserves have been declining as the central bank deployed the kitty to defend the rupee amid pressures caused majorly by global developments.
For the week ended April 21, the foreign currency assets, a major component of the reserves, declined by $2.146 billion to $514.489 billion, according to the Weekly Statistical Supplement released by the RBI.
Expressed in dollar terms, the foreign currency assets include the effect of appreciation or depreciation of non-US units like the euro, pound and yen held in the foreign exchange reserves.
Gold reserves dropped by $24 million to $46.151 billion, the RBI said.
The Special Drawing Rights (SDRs) were up by $19 million to $18.431 billion, the apex bank said.
The central bank intervenes in the spot and forwards markets to prevent runaway moves in the rupee. Changes in forex reserves also stem from valuation gains or losses.
For the reported week, the rupee had ended 0.3% lower against the U.S. dollar and snapped a four-week rising streak. The Indian currency traded in a narrow range of 81.8775 to 82.2425.
The rupee closed at 81.8250 on Friday in the week ending April 28, clocking 0.33% gains against the dollar over the period.