The Reserve Bank of India (RBI) became net buyer of dollars for the third month in a row in December, 2013, as it bought $5.057 billion and sold $1.574 billion worth of dollars in markets.
According to data from the RBI, the apex bank bought $17.787 billion, in November, the highest so far this fiscal year, and sold $7.7 billion, thereby becoming a net buyer of $10.087 billion.
The RBI became the net buyer of dollars billion in October after a gap of five months. It had bought $9.510 billion and sold $5.58 billion during the month.
In the current fiscal year (FY14), the RBI had first become net purchaser of dollars in April, buying $518 million from markets. In April, the RBI had bought $3.29 billion and sold $2.78 billion.
Between May and September, it was a net seller of the US currency on a monthly basis to shore up the rupee which tumbled after the US Fed hinted at withdrawing its easy money policy towards the end of May.
The rupee depreciated nearly 30 per cent between May and August. It touched a life-time low of Rs 68.85 during intra-day trades on August 28.
In September, the RBI sold $3.55 billion on net basis, as per the RBI data.
In July, the RBI net sold $5.98 billion. It bought mere $50 million from the market, while sold $6.03 billion in the month.
Essential Business Intelligence, Continuous LIVE TV, Sharp Market Insights, Practical Personal Finance Advice and Latest Stories — On NDTV Profit.
