So far in 2025, the forex kitty has cumulatively increased by about $48 billion, data showed.
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ANINDITO MUKHERJEE
India’s foreign exchange reserves declined by $1.877 billion in the week that ended November 28 to $686.227 billion, according to the latest weekly data released by the Reserve Bank of India (RBI).
In the last reporting week (November 21), forex reserves declined by $4.472 billion to $688.104 billion, driven by a slump in both foreign currency assets and gold reserves.
Over the past many weeks, the forex kitty has been largely in a downtrend.
RBI’s ‘Weekly Statistical Supplement’ data showed that India’s foreign currency assets (FCA), the largest component of foreign exchange reserves, stood at $557.031 billion, down $3.569 billion.
Interestingly, gold reserves increased by $1.613 billion to $105.795 billion during the current reporting week.
The price of the safe-haven asset gold has been on a sharp uptrend over recent months, perhaps amid heightened global uncertainties and robust investment demand.
The data showed that the Special Drawing Rights (SDRs) increased by $63 million to $18.628 billion. The country’s reserve position with the International Monetary Fund (IMF) increased by $16 million to $4.772 billion, as per the data. Foreign exchange reserves, or FX reserves, are assets held by a nation’s central bank or monetary authority, primarily in reserve currencies such as the US dollar, with smaller portions in the Euro, Japanese Yen, and Pound Sterling.
In 2023, India added around $58 billion to its foreign exchange reserves, contrasting with a cumulative decline of $71 billion in 2022.
In 2024, the reserves rose by a little over $20 billion.
So far in 2025, the forex kitty has cumulatively increased by about $48 billion, data showed.
The RBI often intervenes by managing liquidity, including selling dollars, to prevent a steep depreciation of the rupee. The RBI strategically buys dollars when the Rupee is strong and sells when it weakens.
Published on December 7, 2025
