According to the Reserve Bank data, the currency reserves have decreased due to the fall in foreign currency assets (FCA) in the week ending March 5.
The country’s foreign exchange reserves declined by $ 4.255 billion to $ 580.299 billion in the week ended March 5. This information has been given in the data released by the Reserve Bank of India (RBI) on Friday. In the previous week, foreign exchange reserves had increased by $ 68.9 million to $ 584.554 billion. The foreign exchange reserves had reached a record high of $ 590.185 billion for the week ended 29 January 2021.
According to the Reserve Bank data, the currency reserves have decreased due to the fall in foreign currency assets (FCA) in the week ending March 5. Foreign currency assets constitute a significant part of the total foreign exchange reserves. According to the Reserve Bank’s weekly data, the FCA declined by $ 3.002 billion to $ 539.613 billion in the reporting period. The FCA is denominated in dollars, but includes other foreign currency assets such as Euro, Pound and N. According to the data, the value of the country’s gold reserves decreased by $ 1.206 billion to $ 34.215 billion.
Decline in SDR with IMF
The country received Special Drawing Rights in the International Mundra Fund (IMF), down $ 11 million to $ 1.506 billion. The reserve reserves with the IMF also declined to $ 4.965 billion. It has dropped by $ 36 million.
Rupee up 23 paise on weekly basis
The rupee’s exchange rate rose sharply for the third consecutive trading session against the US dollar amid a slight fall in crude oil prices. On Friday, the rupee strengthened 12 paise to 72.79 against the US currency. The rupee opened stronger at 72.66 against the dollar in the interbank foreign exchange market. The initial profit during the business decreased slightly. Finally, it gained 12 paise to close at 72.79 per dollar against its previous closing level. During the last three sessions of the bull, the rupee has strengthened to 46 paise per dollar. On weekly basis, the rupee has strengthened by 23 paise i.e. 0.31 percent.