Forex reserves plunge sharply to USD 292 billion

Mumbai: After a marginal pick up last week, India’s foreign exchange reserves fell sharply by USD 1.208 billion to USD 292.08 billion for the week to Janaury 17 on the back of drop in core currency assets, RBI said on Friday.

In the previous week, the reserves stood at USD 293.287 billion, rising USD179 million. In the week to January 10, the total reserves had dipped by USD 2.599 billion to USD 293.11 billion.

Foreign currency assets (FCAs), which form a major part of the overall reserves, dipped sharply by USD 1.209 billion to USD 265.934 billion, the Reserve Bank said.

FCAs, expressed in dollar terms, include the effect of appreciation or depreciation of the non-US currencies such as the euro, pound and yen, held in reserves.

During the week under review, the gold reserves were unchanged USD 19.724 billion.

The special drawing rights gained by USD 2.4 million to USD 4.448 billion, while India’s reserve position with the IMF declined USD1.2 million to USD 1.994 billion, the apex bank said.