Inflation spikes in Pakistan, experts feel families will need to make choices, sacrifices
By India Blooms News Service Mar 04, 2023
Mumbai: Indias foreign exchange reserves decreased by $325 million, bringing the total down to $560.94 billion for the week ended February 24th.
The steep decline for the fourth consecutive week can mainly be attributed to a drop in RBIs foreign currency assets, which plunged by $166 million to $495.91 billion during the preceding week.
During the week ending February 24th, the Indian rupee appreciated by 0.1 percent against the US dollar, settling at a rate of 82.75 per US dollar.
After experiencing significant increases in November and December, the Reserve Bank of Indias foreign exchange reserve has been decreasing in recent weeks, primarily due to concerns about potential rate hikes by the US Federal Reserve and the resulting strengthening of the US dollar on a global scale.
According to the February Bulletin released by the Reserve Bank of India (RBI), the foreign exchange reserves were valued at $576.8 billion as of January 27th.
During the period from June to October 2022, the Reserve Bank of India (RBI) sold more US dollars than it purchased in the currency market.
This move was aimed at preventing excessive volatility in the exchange rate of the Indian rupee due to factors such as the ongoing conflict in Ukraine and the aggressive rate hikes by the US Federal Reserve. Thus, the RBI acted as a net seller of US dollars during this period.
The foreign exchange reserves of the Reserve Bank of India (RBI) increased by $28.9 billion from the end of September, reaching $561.6 billion.