“Forex Reserves Climb $392 Million to $687.2 Billion as Gold Holdings Increase”

India’s Forex Reserves Rise to $687.19 Billion, Gold Holdings Up $1.57 Billion.

India’s foreign exchange reserves rose by $392 million to $687.19 billion for the week ending January 9, the Reserve Bank of India (RBI) reported. This comes after a $9.81 billion drop in the previous week.

Foreign currency assets, the largest component of reserves, fell $1.124 billion to $550.87 billion, reflecting changes in the value of currencies like the euro, pound, and yen. Gold reserves, meanwhile, jumped $1.568 billion to $112.83 billion, buoyed by global uncertainties and strong investor demand. Special Drawing Rights (SDRs) declined $39 million to $18.739 billion, and India’s IMF reserve position dropped $13 million to $4.758 billion.

The RBI has said India’s forex reserves are sufficient to cover over 11 months of merchandise imports, underscoring the resilience of the external sector. So far in 2025, India has added around $47-48 billion to its reserves, following gains of $20 billion in 2024 and $58 billion in 2023.

Foreign exchange reserves are assets held by the central bank in foreign currencies such as the US dollar, euro, yen, and pound sterling, providing a buffer to meet external obligations and support the economy.