Forex Reserves Up $27 M At $49.252 Bn

Foreign exchange reserves increased by $27 million to $49.252 billion during the week ended January 25 over the preceding week. In the previous week, the forex kitty had soared by $298 million to cross the $49-billion mark.

In the reporting week, the growth in reserves was solely on account of an accretion of $27 million to the foreign currency assets (FCAs). FCAs as on January 25 stood at $46.391 billion.

Gold reserves and special drawing rights (SDRs) were unchanged at $2.856 billion and $ 5 million, respectively.

From November 30, 2001, to January 25, 2002, forex reserves of the country have buoyed by $2.361 billion. Since March-end 2001, there has been accretion of $6.971 billion (Rs 40,931 crore) to the foreign exchange reserves.

 

The FCAs expressed in dollar terms include the effect of appreciation/depreciation of non-US currencies such as the euro, sterling and yen held in the forex reserves, according to the Reserve Bank of India's (RBI) weekly statistical supplement.

Loans and advances extended by RBI to the central and state governments stood at Rs 5,893 crore and Rs 5,870 crore, respectively, as on January 25, down by Rs 864 crore and Rs 545 crore, respectively, over the previous week.

In the reporting fortnight ended January 25, 2002, aggregate deposits of the banking system surged by Rs 5,526 crore over the previous fortnight. While demand deposits have declined by Rs 1,524 crore, time deposits have risen by Rs 7,050 crore in the reporting fortnight over the previous fortnight.

In the financial year so far, aggregate deposits of scheduled commercial banks (SCBs) have grown by Rs 1,10,615 crore against Rs 1,17,178 crore in the corresponding period in 2000-01. The outstanding aggregate deposits figure stands at Rs 10,73,233 crore.

Investments made by SCBs in government securities in the reporting fortnight ended January 25, 2002, rose by Rs 6,362 crore over the preceding fortnight. In the financial year so far, investments by these banks in gilts stood at Rs 64,742 crore (Rs 44,796 crore in the first nine months of 2000-01).

The non-food credit offtake, as per the latest data available with the RBI, from scheduled commercial banks (SCBs) in the country, has gone up by Rs 6,301 crore in the fortnight ended January 11, 2002, over the preceding fortnight.

Economists attribute the increased non-food credit offtake to the Centre's stepped-up expenditure on account of mobilisation of defence forces in the wake of the Indo-Pak standoff.

In the fortnight ended December 28, 2001, non-food credit offtake from SCBs soared by Rs 9,909 crore against a decline of Rs 384 crore in the preceding fortnight ended December 14, 2001. From December 15, 2001, to January 11, 2002, the non-food credit has soared by Rs 16,210 crore.

This increased offtake in the non-food credit coincides with heightened tensions between India and Pakistan.

In the financial year so far, the non-food credit has risen by Rs 41,181 crore against Rs 49,745 crore in the corresponding period in the previous financial year.