Forex reserves decline by $908 mn to $640.1 bn

The country’s foreign exchange reserves declined by USD 908 million to USD 640.1 billion in the week ended October 22, RBI data showed. In the previous week ended October 15, the reserves had increased by USD 1.492 billion to USD 641.008 billion. The reserves had touched a lifetime high of USD 642.453 billion in the week ended September 3, 2021.

In the reporting week ended October 22, the dip in the reserves was due to a fall in foreign currency assets (FCA), a major component of the overall reserves, and in the gold reserves, Reserve Bank of India’s (RBI) weekly data released on Friday showed.

FCA declined by USD 853 million to USD 577.098 billion in the reporting week, the data showed.

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 were down by USD 138 million to USD 38.441 billion in the reporting week, the data showed.

The special drawing rights (SDRs) with the International Monetary Fund (IMF) rose by USD 74 million to USD 19.321 billion.

The country’s reserve position with the IMF increased by USD 10 million to USD 5.240 billion in the reporting week, the data showed.