India’s foreign exchange reserves surged by $11.4 billion to a record high of $740.8 billion in the week ended August 28, according to data released by the Reserve Bank of India.
Foreign currency assets, the largest component of the reserves, increased by $9.3 billion to $600.6 billion during the week. Gold reserves also rose by $2.1 billion to $116.4 billion.
However, Special Drawing Rights declined by $43 million to $18.8 billion, while India’s reserve position with the International Monetary Fund fell by $11 million to $4.9 billion.
The latest rise underscores the strength of India’s external sector and provides the country with a larger cushion against global economic and financial uncertainties.
