Foreign exchange reserves, or FX reserves, are assets held by a nation's central bank or monetary authority, primarily in reserve currencies such as the US Dollar, with smaller portions in the Euro, Japanese Yen, and Pound Sterling.
Finance Minister Nirmala Sitharaman clarified in the Lok Sabha that India's rising gold reserves, including those held by the Reserve Bank of India (RBI), are not intended to replace any international currency.
India's foreign exchange reserves continue to decline, extending their slump for about four months now. India's forex reserves have slumped fifteen out of the past sixteen weeks, hitting about an 11-month low.
India's year-to-date purchased 73 tonnes of gold with a total gold reserves of 876 tonnes as on November end, making it the second-largest buyer of 2024 after Poland.
In the week that ended December 27, the country's foreign exchange kitty declined by USD 4.112 billion to USD 640.279 billion, data from the Reserve Bank of India (RBI) showed.
India's foreign exchange (forex) reserves continue to decline. In the week that ended December 13, the foreign exchange kitty declined by USD 1.988 billion to USD 652.869 billion, data from the Reserve Bank of India (RBI) showed Friday.