MUMBAI: India’s foreign exchange reserves fell by $4.9 billion to a five-week low of $685.73 billion as of May 16, according to data released by the country’s central bank on Friday.
The reserves had risen to a seven-month high by $4.5 billion in the prior week.
Changes in foreign currency assets, expressed in dollar terms, include the effect of appreciation or depreciation of other currencies held in its reserves.
For the week ended May 16, the rupee notched its second consecutive weekly drop due to sustained dollar demand from local companies and foreign banks.
The currency hovered in a broad 84.6250-85.7225 range during that week, which saw the currency markets react to a ceasefire between India and Pakistan.
India’s forex reserves hit seven-month peak
The rupee closed at 85.2125 against the dollar on Friday, up 0.9% on the day, its best one-day gain since November 2022. For the week, the currency rose 0.3%.
Foreign exchange reserves include India’s Reserve Tranche position in the International Monetary Fund.
Foreign exchange reserves (in million US dollars)
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May 16 May 09
2025 2025
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Foreign currency assets 581,652 581,373
Gold 81,217 86,337
SDRs 18,490 18,532
Reserve Tranche Position 4,371 4,374
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Total 685,729 690,617
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