India’s Foreign Exchange Reserves Reach New High

New Delhi, India – India’s foreign exchange reserves have reached a new lifetime high of USD 657.155 billion as of July 5, 2024, according to the Reserve Bank of India (RBI). This marks an increase of USD 5.158 billion from the previous month, which had a high of USD 655.817 billion.

In 2024, the reserves have risen by about USD 35 billion cumulatively. The latest data from the RBI shows that India’s foreign currency assets (FCA), the largest part of the forex reserves, increased by USD 4.228 billion to USD 577.110 billion. Additionally, gold reserves rose by USD 904 million to USD 57.432 billion.

India’s foreign exchange reserves are now sufficient to cover over 11 months of projected imports. In 2023, the RBI added about USD 58 billion to its foreign exchange reserves, while in 2022, the reserves had decreased by USD 71 billion.

Foreign exchange reserves are assets held by a nation’s central bank, usually in reserve currencies like the US Dollar, Euro, Japanese Yen, and Pound Sterling. The RBI monitors the foreign exchange markets and intervenes to maintain orderly market conditions and prevent excessive volatility in the exchange rate.