India's forex kitty drops USD 1.98 bn to USD 607.03 bn

Mumbai: India's forex reserves dropped by USD 1.987 billion to USD 607.035 billion for the week ended July 21, the Reserve Bank has said.

The overall reserves had increased by USD 12.743 billion in the second biggest rise in seven days in recent times to USD 609.022 billion in the previous reporting week.

It can be noted that in October 2021, the country's forex kitty had reached an all-time high of USD 645 billion.

The reserves declined later as the central bank deployed the kitty to defend the rupee amid pressures caused majorly by global developments.

For the week ended July 21, the foreign currency assets, a major component of the reserves, decreased by USD 2.414 billion to USD 537.752 billion, according to the Weekly Statistical Supplement released by the RBI last Friday.

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 were up by USD 417 million to USD 45.614 billion, the RBI said.

The Special Drawing Rights (SDRs) were down by USD 11 million to USD 18.474 billion, the apex bank said.

The country's reserve position with the IMF was up by USD 21 million to USD 5.196 billion in the reporting week, the apex bank data showed.