Forex reserves hit 10-month low of $301 bn

India’s foreign exchange reserves fell by $1.2 billion to $301 billion for the week ended December 23, according to the Reserve Bank of India (RBI). The fall was on account of revaluation in foreign currency assets that fell by $1.3 billion to $ 266 billion.

While gold reserves remained unchanged at $28 billion, special drawing rights (SDR) and the reserve position in the International Monetary Fund (IMF) increased by $9 million and $ 66 million, respectively, during the reporting period. SDRs stood at $ 4.4 billion and reserve position in the IMF stood at $ 2.7 billion. The reserves touched a 10-month low. Dealers suspec RBI intervened in the foreign exchange market to stem the rupee’s fall. In September and October RBI sold $ 1.8 billion to arrest the fall.