Business & Finance International

Indiaโ€™s Forex Reserves Rose Over USD 10 Bln To Hit Five-Month High

Forex

The forex reserves had been intermittently falling for months now, barring the latest jump, largely because of the RBIโ€™s intervention in the market to defend the depreciating rupee against a surging US dollar.

New Delhi:  Indiaโ€™s foreign exchange reserves rose by USD whopping USD 10.417 billion to USD 572.0 billion in the week ending on January 13, Reserve Bank of Indiaโ€™s Bulletin Weekly Statistical Supplement data showed. With this sharp jump, the reserves hit over a five-month high.

During the week that ended on January 6, the countryโ€™s forex reserves were at USD 561.583 billion, earlier data showed. According to RBIโ€™s latest data, Indiaโ€™s foreign currency assets, the biggest component of the forex reserves, rose by USD 9.078 billion to USD 505.519 billion.

Gold reserves rose by USD 1.106 to USD 42.890 billion. Notably, at the start of last year โ€” 2022, the overall forex reserves were at about USD 633 billion.

Also Read:BJP Used Taxpayers Money For Boosting PM Modiโ€™s Image Alleges Congress

Much of the decline can be attributed to RBIโ€™s intervention and a rise in the cost of imported goods. In October 2021, the countryโ€™s foreign exchange reserves reportedly touched an all-time high of about USD 645 billion.

The forex reserves had been intermittently falling for months now, barring the latest jump, largely because of the RBIโ€™s intervention in the market to defend the depreciating rupee against a surging US dollar.

Typically, the RBI, from time to time, intervenes in the market through liquidity management, including through the selling of dollars, with a view to preventing a steep depreciation in the rupee.

The RBI closely monitors the foreign exchange markets and intervenes only to maintain orderly market conditions by containing excessive volatility in the exchange rate, without reference to any pre-determined target level or band, Union Finance Minister Nirmala Sitharaman had said in response to a question in recent Parliament session on whether the central bank has been using reserves to stem the fall in the Indian currency.

(Except for the headline, this story has not been edited by HW News staff and is published from a syndicated feed.)

Dear Readers,
As an independent media platform, we do not take advertisements from governments and corporate houses. It is you, our readers, who have supported us on our journey to do honest and unbiased journalism. Please contribute, so that we can continue to do the same in future.
Some error occurred

Related posts

National Politics

Open Friction And Disunity In Opposition? As TMC Leader Says Congress Trying To Move Alone

ANI
Congress

โ€œCongress has failed in many state polls and in the 2014 and 2019 Lok Sabha polls. So the scientific methodological Opposition mechanism should be made according to WB CM Mamata Banerjeeโ€™s proposal. Hope Congress understands this,โ€ he added.

New Delhi: The Opposition, which is looking to oust Prime Minister Narendra Modi-led government in the 2024 Lok Sabha polls, seems to be running on diverging tracks with the Congress launching its own campaigns to reach out to the people and various other leaders speculated as the aspirants of prime ministerial contest holding their separate rallies.

The latest in this episode was evident which suggests disunity in the Opposition was a mega rally by Telangana Chief Minister Chandrashekar Rao-led Bharat Rashtra Samithi (BRS) which was attended by several political parties at Khammam earlier this week, followed by Trinamool Congress leader Kunal Ghoshโ€™s allegation on Congress. Ghosh on Saturday alleged that TMC chief Mamata Banerjee batted for a coordination team between Opposition parties and a joint program in other states, however, Congress โ€œdid not respond to itโ€ in its attempt to โ€œmove aloneโ€.

โ€œWB CM proposed that there should be a coordination team between Opposition parties and a joint program in other states, especially in BJP-ruled states, but Congress didnโ€™t respond (to it). Theyโ€™re trying to move alone,โ€ he alleged while remarking on the partyโ€™s follow-up campaign to Bharat Jodo Yatra, named as โ€˜Haath se Haath jodoโ€™.

โ€œCongress has failed in many state polls and in the 2014 and 2019 Lok Sabha polls. So the scientific methodological Opposition mechanism should be made according to WB CM Mamata Banerjeeโ€™s proposal. Hope Congress understands this,โ€ he added.

This comes at a time when political parties, in the run-up to the Lok Sabha elections, are formulating strategies for the upcoming polls. KCR, who renamed his Telangana Rashtra Samithi as Bharat Rashtra Samithi last year held his first mega rally in which various political leaders were present on the stage as a show of Opposition unity. However, some major names who are considered to be prime ministerial aspirants were missing from the dias.

Also Read:BJP Used Taxpayers Money For Boosting PM Modiโ€™s Image Alleges Congress

The rally was attended by Kerala Chief Minister Pinarayi Vijayan, Delhi Chief Minister and Aam Aadmi Party chief Arvind Kejriwal who is also seen to be in the fray among the Opposition leaders in the race to the top post, Punjab Chief Minister Bhagwant Mann, Samajwadi Party chief Akhilesh Yadav and CPI general secretary D Raja.

The prominent name which was missing from the stage was Mamata Banerjee who is advocating for a united Opposition, and Bihar Chief Minister Nitish Kumar, who though has denied having any Prime Ministerial ambitions on several occasions, is also being seen as part of the aspiring flock.
Kumar, on January 19, said that he was not aware of the mega rally by KCR in Telangana as he was โ€œbusy with some other workโ€.

He went on to call the KCR rally a โ€œrally of the partyโ€. Nitish Kumarโ€™s ally Rashtriya Janata Dal also was missing from the mega event, though Kumar and Tejashwi Yadav had hosted KCR last year in Patna where they held a discussion at length on the Opposition unity.

However, it is notable that KCR, during his visit to Patna last year, responded to a question if Nitish Kumar could be a runner and challenger to the BJP led by Prime Minister Narendra Modi in 2024, and said that this would be decided by the Opposition leaders.

Notably, the missing of both of the leaders from the KCR rally could be seen as yet another testimony of friction in the Opposition in regard to unity. This comes days after Kumar said that he has โ€œno problemโ€ with Rahul Gandhiโ€™s candidature as the PM candidate in 2024.

KCRโ€™s rally, which is speculated to be an attempt to bring together โ€œnon-Congressโ€ parties on a page, is also seen as a major step towards a โ€œthird frontโ€.

(Except for the headline, this story has not been edited by HW News staff and is published from a syndicated feed.)

Related posts

News Hub