Overview

• Reserves increased by $5.17 billion in the week ending June 6, according to the Reserve Bank of India.
• Foreign currency assets rose by $3.47 billion to $587.68 billion and gold reserves jumped by $1.58 billion to $85.88 billion.
• The forex kitty stands just 1.2% below the all-time high of $704.89 billion reached in September 2024.
• The RBI intervenes selectively to curb excessive rupee volatility without targeting a specific exchange rate.
• Current reserves are sufficient to cover about 11 months of imports and meet roughly 96% of external debt.