India's Forex Reserves Witness Significant Drop

India's foreign exchange reserves decreased by USD 4.8 billion, reaching USD 670.119 billion for the week ending August 9. This decline follows a previous surge to an all-time high. Key components such as foreign currency assets and gold reserves dropped, while Special Drawing Rights and IMF reserves saw minor increases.

India's foreign exchange reserves experienced a significant drop of USD 4.8 billion, settling at USD 670.119 billion for the week that ended on August 9, as reported by the Reserve Bank of India on Friday.

This decline is notable as it follows a substantial increase of USD 7.533 billion in the preceding week, which had brought the reserves to a historic high of USD 674.919 billion.

The data for the week ending August 9 showed that foreign currency assets, a primary component of the reserves, decreased by USD 4.079 billion to USD 587.96 billion. Additionally, gold reserves dropped by USD 860 million to USD 59.239 billion. Meanwhile, Special Drawing Rights increased by USD 121 million to USD 18.282 billion and India's reserve position with the IMF rose by USD 18 million to USD 4.638 billion.

(With inputs from agencies.)