India's Forex Reserves Rise To $690 Billion With Major Addition In Gold Holdings
This marks a rise of $4.553 billion in forex reserves when compared to the preceding week, the RBI data showed.
India's foreign exchange reserves rose to $690.61 billion for the week that ended on May 9, primarily bumped up by a increase in gold holdings. This marks a rise of $4.553 billion when compared to the previous reporting week, according to the data released by the Reserve Bank of India on Friday.
The country's forex kitty had dropped by $2 billion in the preceding seven days, standing at $686 billion for the week that ended on May 2.
The country's forex holdings are the fourth largest, after China, Japan, and Switzerland. Reserves have steadily recovered after a steep fall from their peak of $700 billion at the end of September.
Besides, foreign investors have pulled out nearly $9 billion from the country's debt and equity markets so far this year, according to data from the National Securities Depository Ltd.
For the week ended May 9, foreign currency assets—a major component of the reserves—rose to $581 billion, according to the RBI data. In dollar terms, foreign currency assets include the effect of the appreciation or depreciation of non-US units like the euro, pound, and yen held in foreign exchange reserves.
Gold reserves increased by $4.5 billion to $86.3 billion during the week.
