Foreign Exchange Reserve

But when capital flows are volatile, as has happened this financial year, even financing a low CAD can become challenging and put pressure on the currency

India's software exports rose 12.7% in FY25, yet listed IT groups saw only 3.8% growth, with market share slipping as unlisted firms and GCCs expand faster

The rupee fell to 88.44 per dollar, its lowest ever, amid strong importer demand and tariff worries, even as RBI intervened to contain volatility in the forex market

The RBI reversed its forex stance in June with $3.6 bn net sales, while rupee's REER stayed flat and forward dollar short positions dropped further to $60.39 bn

Trade policy outcomes in July, after the temporary tariff hiatus is over, and the future course of geopolitical events would likely shape the medium-term economic prospects

India's forex reserves rise by $4.5 billion to a seven-month high of $690.6 billion, driven largely by gold valuation gains amid continued rupee volatility

It examined the effectiveness of the RBI's forex interventions and found that the primary driver of exchange rate volatility in India is the fluctuation in portfolio flows caused by global spillovers

The reserves stood at $655 billion in the week ended December 6, having declined by $3.2 billion during that week

India's forex reserves dropped USD 1.31 billion to USD 656.582 billion for the week ended November 22, the Reserve Bank of India (RBI) said. The kitty had dropped a record USD 17.761 billion to USD 657.892 billion in the previous reporting week ending November 15. The reserves, which had hit an all-time high of USD 704.885 billion in end-September, have been declining for multiple weeks, at a time when the rupee has also been under pressure. For the week ended November 22, foreign currency assets -- a major component of the reserves -- decreased USD 3.043 billion to USD 566.791 billion, the data, which was released on Friday, showed. Expressed in dollar terms, the foreign currency assets include the effect of appreciation or depreciation of non-US units like the euro, pound, and yen held in the foreign exchange reserves. Gold reserves increased USD 1.828 billion to USD 67.573 billion during the week, the RBI said. The special drawing rights (SDRs) were down USD 79 million to USD

The previous highest weekly fall in foreign exchange reserves was $15.5 billion, recorded for the week ended October 24, 2008, during the global financial crisis

Changes in foreign currency assets are caused by the central bank's intervention in the forex market as well as the appreciation or depreciation of foreign assets held in the reserves

The previous record of $689 billion was hit in the week ended September 13. The total reserves rose on the back of an increase in foreign currency assets which rose by $2.05 billion during the week

Union Road Transport Minister Nitin Gadkari on Wednesday said the government will allow mixing of lignin up to 35 per cent in petroleum-based bitumen, a large part of which is imported from other countries. Bitumen is a black substance produced through the distillation of crude oil and is widely used for making roads and roofs. "We have the largest road network in the world. 90 per cent of roads are using bituminous layers. Bitumen consumption in 2023-24 was 88 lakh tonnes. In 2024-25 it is expected to be 100 lakh tonnes. 50 per cent of the bitumen is imported. And annual import cost is Rs 25,000-30,000 crore," Gadkari said while replying to questions in Rajya Sabha. The minister said the farmers are now not only producing foodgrains but they have become energy producers. Central Road Research Institute (CRRI) and the Indian Institute of Petroleum, Dehradun, had developed bio-bitumen from paddy straw. The minister expressed concern that there is a problem of air pollution in Delhi

The rupee recovered from its all-time low level and appreciated by 5 paise to 83.65 against the US dollar in early trade on Monday, as the American currency retreated from its elevated level. Forex traders said foreign fund inflows and possible intervention by the Reserve Bank of India (RBI) supported the rupee at lower levels and restricted the downfall. At the interbank foreign exchange market, the local unit opened at 83.66, and touched an early high of 83.65, registering a gain of 5 paise from its previous close. On Friday, the rupee depreciated 7 paise to settle at its all-time low of 83.70 against the US dollar. "A weakening dollar -- prompted by shifts in the macroeconomic landscape and emerging cracks in US economic data -- caused the dollar index to dip to 104. This scenario saw emerging market currencies rising against the dollar," CR Forex Advisors MD Amit Pabari said. However, despite these rupee-supporting factors, the Indian currency hasn't appreciated significantly,

The yen had languished at 38-year lows past 160 per dollar before the suspected bout of intervention making policymakers increasingly worried

Economists said that reserves rose due to a combination of revaluation and inflows. Forex reserves fell by $1.71 billion to $652 billion during the week ended June 28

The reserves fell by $2 billion in that week, after rising by a total of $10.8 billion in the previous three weeks

The rupee appreciated by 6 paise to 83.31 against the US dollar on Tuesday amid softening crude oil prices in the international market. Forex traders said, however, the local unit faced some resistance due to subdued sentiment in the domestic equity market and a stronger American currency. At the interbank foreign exchange market, the local unit opened strong at 83.32 and inched up further to trade at 83.31 against the greenback, registering a gain of 6 paise from its previous closing level. On Friday, the rupee had settled 13 paise higher at 83.37 against the US dollar. The forex markets were closed on Monday on account of general elections. Meanwhile, the dollar index, which gauges the greenback's strength against a basket of six currencies, was trading at 104.57, higher by 0.11 per cent. Analysts attributed the strengthening dollar to higher US treasury yields even as the Federal Reserve has indicated that it needs more time to assess the progress on inflation. Brent crude fut

Analysts point to the gaping gap between Japanese and U.S. government debt yields as the force behind the yen's slide

The RBI move goes against the trend of allowing more flexibility and therefore, retrograde