India's foreign reserves dropped to USD 734.606 billion, declining by USD 12.952 billion during the week ended October 2, as per the RBI's data on Friday, October 9. The foreign kitty has decreased to an all-time low of USD 51.1 billion, down from an all-time high of USD 785.706 billion.
Meanwhile, the gold reserves value declined as well, falling by USD 2.288 billion to USD 106.413 billion during the week.
Forex reserves fell last week as well, with an overall decline of USD 18.343 billion to USD 747.557 billion in the previous reporting week ended September 25.
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Forex Reserve Touched All-Time High In September
For the week ended September 4, reserves hit an all-time high of $785.706 billion, driven by currency inflows through special discount swaps for deposits of immigrants. Banks raised a record $133 billion through these swaps.
For the week ended October 2, foreign currency assets, a major component of reserves, fell by $10.664 billion to $604.747 billion, the data showed.
In dollar terms, foreign currency assets also include the impact of appreciation or depreciation of non-US currencies held in foreign currency reserves, such as the euro, pound and yen.
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Gold Reserve Fall
According to RABI data, gold reserves fell by $2.288 billion to $106.413 billion this week. Special Drawing Rights (SDRs) rose by $15 million to $18.656 billion.
India's reserve position with the IMF fell by $15 million to $4.789 billion.
(With Inputs From Agency)