Foreign exchange reserves increased by $ 1.05 billion to $ 630.61 billion, figures released

The country's foreign exchange reserves increased by $ 1.05 billion to $ 630.61 billion in the week ended January 31. In the previous week, the foreign exchange reserves had increased by $ 5.57 billion to $ 629.56 billion, according to the data of the Reserve Bank of India.

Foreign exchange reserves have increased for the second consecutive week. It has been on a declining trend in the recent weeks. Revaluation and forex market intervention by the RBI in a bid to stem the fluctuations in the rupee has been observed to lead to its decline. Foreign exchange reserves had touched a lifetime high of $704.88 billion at the end of September last year.

According to the data released by the Reserve Bank on Friday, foreign exchange assets, a major part of the foreign exchange reserves, declined by $207 million to $537.68 billion in the week ended January 31. Foreign exchange assets mentioned in dollar terms include the effect of fluctuations in non-US currencies like the Euro, Pound, and Yen kept in the foreign exchange reserves. The value of gold reserves increased by $1.24 billion to $70.89 billion in the week under review.

Special Drawing Rights (SDR) increased by $29 million to $17.89 billion. According to the data of the Reserve Bank, India's reserve reserve with the International Monetary Fund (IMF) declined by $14 million to $4.14 billion in the week under review.