IslamicFinance.de

A strong US dollar and subsequent interventions by the country’s central bank to stabilise the rupee drained over $1.80 billion (Dh6.61 billion) from India’s foreign exchange reserves. Reserves plunged by $1.82 billion during the week ended August 10 to $400.88 billion from $402.70 billion reported one week earlier. According to Anindya Banerjee, deputy vice-president of Kotak Securities, the decline in Forex reserves can be attributed to the RBI’s intervention to stem the decline in rupee’s fall. Foreign currency assets fell sharply, but the value of the country’s gold reserves increased by $145.6 million to $20.69 billion.