Mumbai — India’s foreign exchange reserves climbed by $11.48 billion to an all-time high of $740.80 billion in the week ended Aug. 28, according to data released Friday by the Reserve Bank of India.
The reserves were up $49.70 billion from the end of March and $46.57 billion from the same period a year earlier.
Foreign currency assets, the largest component of the reserves, increased by $9.34 billion during the week to $600.67 billion. They were $48.39 billion higher than at the end of March and up $16.73 billion from a year earlier.
Gold reserves rose by $2.19 billion to $116.41 billion. Gold holdings were up $1.01 billion from the end of March and $29.64 billion from the corresponding period last year.
India’s Special Drawing Rights with the International Monetary Fund stood at $18.81 billion, down $43 million from the previous week but $188 million higher than at the end of March.
The country’s reserve position with the IMF fell by $11 million during the week to $4.91 billion, while remaining $106 million above its end-March level.
Separately, RBI data showed that loans and advances to state governments declined to Rs 10,788 crore as of Aug. 21 from Rs 14,225 crore a week earlier, a drop of Rs 3,437 crore. The amount was also below the Rs 27,463 crore recorded during the corresponding period last year.
The rise in reserves was supported by foreign currency inflows following measures introduced by the RBI in June, including special deposit programs for Indians and other non-resident customers.
The RBI said earlier this month that India’s banking system had mobilized $136.38 billion in foreign currency inflows through its special dollar-rupee swap facility.
As of Aug. 31, foreign currency non-resident, or FCNR(B), deposits accounted for $127.23 billion of the inflows. Overseas foreign currency borrowings contributed $5.26 billion, while external commercial borrowings added $3.89 billion. (Source: IANS)
