India’s foreign exchange reserves created history in the week ended on June 5. For the very first time ever, these reserves surpassed the half a trillion mark and increased to humongous 8.22 billion USD as per the latest data released by the Reserve Bank of India.
Assisted by zoomed up foreign currency assets, these reserves rised to USD 501.70 billion. Foreign currency assets is a quintessential component of the overall reserves. It climbed up USD 8.42 billion totalling to USD 463.63 billion.
The foreign currency assets are expressed in dollar terms and include the net effect of depreciation or appreciation of units other than USD foreign exchange held in the reserves like Euro, yen or pound.In the week before that ending on May 29, the reserves gained USD 3.44 billion making a total of USD 493.48 billion.
The RBI data also presented a report on gold reserves which declined to USD 32.352 billion. This decline was almost by bye-bye USD 329 million. The special drawing rights with the international monetary fund aur IMF climbed up to 1.44 billion with an increase of USD 10 million. India’s reserve position controlled by the IMF jumped up USD 120 million to USD 4.28 billion in the same week.