India’s Forex Reserves Jump $14.17 Billion to $701.36 Billion: RBI
India’s foreign exchange reserves rose by $14.167 billion to $701.36 billion in the week ended January 16, according to the Reserve Bank of India (RBI). The previous week had seen a smaller increase of $392 million to $687.193 billion.
Key highlights from the RBI data:
Foreign currency assets (FCAs): Up $9.652 billion to $560.518 billion. This includes the impact of exchange rate movements in currencies like the euro, pound, and yen.
- Gold reserves: Rose by $4.623 billion to $117.454 billion.
- Special drawing rights (SDRs): Fell slightly by $35 million to $18.704 billion.
- Reserve position with the IMF: Declined $73 million to $4.684 billion.
India’s forex reserves had previously touched an all-time high of $704.89 billion in September 2024, but recent interventions to stabilize the rupee had put some pressure on the kitty. Gold prices, meanwhile, have been rising amid global uncertainties and robust investment demand.
The RBI has stated that India’s forex reserves are sufficient to cover more than 11 months of merchandise imports, reflecting the resilience of the country’s external sector.
In context, India added around $58 billion to its forex reserves in 2023, after a cumulative decline of $71 billion in 2022. In 2024, the reserves grew by just over $20 billion, and so far in 2025, they have increased by approximately $47–48 billion.
Foreign exchange reserves are assets held by a nation’s central bank, mainly in currencies like the US dollar, along with smaller holdings in the euro, Japanese yen, and pound sterling.
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