India’s Foreign Exchange Reserves Surge By 4.8 Billion Dollars At Lifetime High Of Over 651 Billion Dollars

India’s foreign exchange reserves have surged by 4.83 billion dollars to touch a new lifetime high of 651.5 billion dollars in the week ended 31st May.

Addressing a post policy press conference in Mumbai yesterday, RBI Governor Shaktikanta Das said the country’s external sector remains resilient. Pointing to improvements in the current account deficit, external debt to GDP ratio and net international investment position, Mr. Das said the apex bank is confident of comfortably meeting the external financing requirements.

The RBI Governor said the current account deficit for FY25 is likely to remain well within its sustainable level with help coming from remittances, services



exports and a lower trade deficit. Talking about FDI, Mr. Das said India retained its position as the most attractive destination for greenfield foreign direct investment in the Asia-Pacific region in the past year.

Meanwhile, a RBI press release has informed that foreign currency assets, a major part of the overall foreign exchange reserves, increased by 5.065 billion dollars to 572.56 billion dollars. The gold reserves, however, went down by 212 million dollars in the reporting week to reach 5.50 billion dollars. The country’s special drawing rights with the International Monetary Fund also dipped by 17 million dollars to reach 18.11 billion dollars.