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India’s FX Reserves Jump to $701.36 Billion as Pakistan’s SBP Buffers Edge Higher

Fresh RBI data signal stronger intervention capacity, with Pakistan’s buffers recently bolstered by IMF SDRs.

Overview

  • India’s foreign exchange reserves rose by $14.17 billion to $701.36 billion for the week ended January 16, according to RBI data.
  • Composition of India’s weekly rise: foreign currency assets increased by $9.65 billion to $560.52 billion and gold holdings rose by $4.62 billion to $117.45 billion, while SDRs fell $35 million and the IMF reserve position declined $73 million.
  • The State Bank of Pakistan’s reserves increased by $16 million to $16.0877 billion for the same week, taking total liquid reserves to $21.2582 billion, with commercial banks holding $5.1705 billion.
  • Pakistan’s central bank links the recent build-up chiefly to the earlier receipt of SDR 914 million from the IMF under the EFF and RSF.
  • Topline Securities notes falling T-bill and PIB yields are tilting allocations toward equities and could prompt mutual fund shifts, as the rupee ended the day at 279.87 per dollar.