Published by Pallavi pandey
India’s Foreign Exchange Reserves record new heights
By~ Nishtha Gupta
After touching the $600 billion mark in the first week of June, India’s foreign exchange reserve has now rose to $633 billion by the end of august 27 after international monetary fund (IMF) made an allocation of 12.57 billion special drawing rights (SDRs) which according to the latest exchange rate is $17.86 billion to the country on august 23 putting India into the top 5 countries with largest foreign exchange reserves.
The RBI uses its forex kitty to monitor the movement of the rupee. Reserve Bank of India has been buying dollars from the market to shore up the reserves. RBI sells the dollar when rupee weakens and buys the dollar when rupee strengthens
The country’s forex kitty declined by $2.7 billion in the last week. By 27th august it has touched a lifetime high of $633.558 billion as reserves soared by $16.663 billion.
According to the weekly data released by RBI, SDR holdings rose to $19.407 billion by august end.. The fresh SDR allocation to the RBI follows the recent G-20 decision to increase IMF’s capacity by $650 billion to fight the economic fallout due to COVID-19. 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 also surged by $192 million ending up at $37.441 billion. Meanwhile the Indian Rupee settled with a marginal gain of 4 Paise at 73.02 against the US Dollar on Friday.
टिप्पणियाँ
एक टिप्पणी भेजें