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India's Forex Reserves Rise to $703.3 Billion Amid West Asia Tensions

India's foreign exchange reserves rose by $2.3 billion to $703.30 billion in the week ending April 17, according to RBI data. The increase follows a period of depletion due to West Asia tensions and capital outflows. Gold reserves also rose to $122.13 billion, while SDRs and IMF positions saw slight increases. The rise suggests easing pressures, though reserves remain below the February peak of $728.494 billion.

Key Points: India Forex Reserves Up $2.3B to $703.3 Billion

  • Forex reserves rise $2.3 billion to $703.3 billion in week ending April 17
  • Gold reserves reach $122.13 billion
  • West Asia tensions had previously depleted reserves
  • RBI intervenes to stabilize rupee amid global uncertainty
2 min read

India forex reserves rise to $703.3 billion amid West Asia tensions

India's forex reserves rise $2.3 billion to $703.3 billion amid West Asia tensions. Gold reserves hit $122.13 billion. RBI intervenes to stabilize rupee.

"The movement in forex reserves continues to reflect India's balancing act between managing external shocks and maintaining currency stability amid an uncertain global economic environment. - RBI Data Analysis"

Mumbai, April 24

India's foreign exchange reserves registered a $2.3 billion increase in the week ending April 17, according to data released by the Reserve Bank of India on Friday.

The country's forex reserves rose to reach $703.30 billion, the central bank said.

The uptick comes after a period of sustained pressure on the reserves, largely driven by external factors and currency market interventions.

India's reserves had previously touched an all-time high of $728.494 billion in the week ended February 27, 2026.

However, the escalation of the Middle East conflict soon after led to a reversal in the trend.

The country's gold reserves also followed suit and continued their $100 billion+ rally at $122.13, with a significant rise of $79 million.

Special Drawing Rights (SDRs) jumped slightly to $18.84 billion. On the other hand, India's reserve position with the IMF rose by $14 million, now at $48.70 billion.

Heightened global uncertainty and capital outflows put pressure on the rupee, prompting the central bank to step in and stabilise the currency through dollar sales.

This intervention, coupled with broader market dynamics following the outbreak of the West Asia war, resulted in a steady depletion of reserves over several weeks.

The latest rise suggests a potential easing of pressures, although reserves remain below their late-February peak.

The movement in forex reserves continues to reflect India's balancing act between managing external shocks and maintaining currency stability amid an uncertain global economic environment.

Meanwhile, for the week ended April 10, India's foreign exchange reserves was increased by $3.825 billion.

This marks a continued recovery in the country's forex kitty, which had already risen by $9.063 billion to $697.121 billion in the previous week ended April 3.

Foreign exchange reserves play a crucial role in maintaining economic stability, helping the central bank manage currency fluctuations and ensuring smooth external trade.

A robust reserve position allows the RBI to intervene in the currency market to support the rupee during periods of volatility, while also reflecting sustained inflows of foreign currency into the economy.

- IANS

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Reader Comments

J
James A
$703 billion is still a solid buffer. With global uncertainty, it's no surprise the RBI is stepping in to manage volatility. India's forex position is one of the strongest among emerging economies, even after the recent dip. Impressive how the gold reserves continue to rally too.
P
Priya S
We need to ask ourselves why we lost $25 billion in just a few weeks. Was it all intervention or did hot money flee? Dependence on portfolio flows is risky. Time to focus on boosting exports and reducing import dependency, else this roller coaster will keep happening ‍♂️
M
Michael C
Interesting to see the SDRs and IMF position moving up too, albeit marginally. The real story here is the RBI's strategy of selling dollars to protect the rupee during the West Asia tensions. It worked, but at a cost. Now we're recovering, which is a good sign for trade stability.
N
Nandini R
Honestly, I wish the media would explain how this affects the common person. More reserves = rupee stability = cheaper imports, but do we feel it in our daily lives? Not really. The RBI should balance this with policies that help control inflation too.
R
Rahul K
Feels reassuring that our forex kitty is still above $700 billion. With the global situation so shaky, having this cushion is like insurance for the economy. Good move by RBI to intervene when needed. Let's just hope we don't have to dip into it too much again.

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