India’s foreign exchange reserves fell for the seventh week in a row, falling to $545.652 billion in the week to September 16, the lowest level since October 2, 2020, according to the Reserve Bank of India’s weekly statistical supplement released on Friday.
At the end of the previous week, reserves totaled $550.871 billion.
Though the decline in reserves is partly due to valuation changes, analysts believe the Reserve Bank of India intervened in the currency market to prevent the rupee from depreciating further against the dollar.
The rupee had stabilized by the end of trading on Friday after a volatile week that saw it fall past 81 per dollar to a record low earlier in the session, prompting the RBI to intervene.
Source:BS