India's foreign exchange reserves surged by USD 2.296 billion to USD 537.548 billion

India's foreign exchange reserves rose by 2.296 billion US dollar (USD) to reach 537.548 billion US dollar in the week to August 21, 2020.

In the previous week ended August 14, 2020, the reserves had declined by 2.939 billion US dollar to 535.252 billion US dollar. The forex kitty had increased by 3.623 billion US dollar to reach a record high of 538.191 billion US dollar in the week ended August 7, 2020.

In the reporting week, the increase in reserves was mainly due to a jump in foreign currency assets (FCAs), a major component of the overall reserves. Foreign Currency Assets rose by 2.618 billion US dollar to 494.168 billion US dollar in the reporting week, the central bank data showed.

Expressed in dollar terms, the foreign currency assets include the effect of appreciation or depreciation of non-US units like the euro, pound and yen held in the foreign exchange reserves. The apex bank data showed the gold reserves were down by 331 million US dollar in the reporting week to 37.264 billion US dollars.

The special drawing rights with the International Monetary Fund (IMF) rose 2 million US dollar to 1.481 billion US dollar. The country's reserve position with the IMF also increased by 6 million to 4.634 billion US dollar during the reporting week.