India’s forex reserves at record high of USD 675 bn: Das

The country’s foreign exchange reserves reached a record high of $USD 675 billion on August 2, as stated by Reserve Bank Governor Shaktikanta Das on Thursday. The previous all-time high for the reserves was $USD 670 billion on July 19, and the last reported reserve was $USD 667 billion as of July 26.

Governor Das mentioned that the country’s external sector “remains resilient,” as shown by an improvement in key indicators. “We are confident in meeting our external financing requirements comfortably,” he stated in his review of the monetary policy. According to Das, foreign portfolio investors became net buyers in the domestic market from June 2024, with net inflows of $9.7 billion during June to August 6, following outflows of $4.2 billion in April and May.

Additionally, Governor Das stated that gross foreign direct investment (FDI) increased by over 20 percent in April to May 2024, and net FDI flows doubled during this period compared to the previous year. He also added that external commercial borrowings by Indian entities decreased, while non-resident deposits were higher in April to May.