India’s forex reserves rise at fastest pace since August 2021: RBI data
India’s foreign exchange reserves rose to $544.72 billion in the week through Nov. 11, marking their biggest weekly jump in more than a year, the Reserve Bank of India’s (RBI) weekly statistical supplement showed on Friday. The country’s reserves were at $529.99 billion by Nov. 4. They are still down from around $630 billion at the beginning of this year as the RBI sold a portion of the reserves to prevent a sharp fall in the rupee this year. Also Read :Federal Bank ties up with JCB India to finance heavy equipment buyers In the week ended Nov. 11, softer-than-expected U.S. inflation data helped the rupee mark its best weekly performance in about four years and strengthened it to the 80-per-dollar handle for the first time since mid-September. For the current week, the local currency gave back some of those gains to end down 1.1% at 81.6850 per dollar. Read More The Spuzz.com
In 2020-21 India’s FX reserves covered 18 months of imports. In 2022-23 FX reserves likely to cover about 7 to 8 months imports.Because imports going up 45 to 50% & forex reserves falling due to capital outflow.Reserves need monitoring.
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