India's forex reserves soar by $9.9 billion to $716.90 billion as on August 14

India's forex reserves surged USD 9.905 billion to reach USD 716.907 billion during the week that concluded on August 14, according to the Reserve Bank of India (RBI). This was an increase from the previous week, which saw reserves grow by USD 14.136 billion to hit USD 707.002 billion. The reserves had previously reached an all-time high of USD 728.494 billion during the week ending February 27, but the rise in reserves paused following the Middle East conflict, causing the rupee to suffer and the RBI to intervene in the forex market through dollar sales.

During the week in question, foreign currency assets, a key component of the reserves, rose by USD 7.225 billion to USD 581.851 billion. These assets encompass the impact of changes in the value of non-US currencies such as the euro, pound, and yen held in the country's foreign exchange reserves. In response to the forex situation, the RBI and the government introduced a series of measures aimed at attracting more foreign currency into the nation, including the FCN (B) measure.

As of August 13, the country had received USD 56.85 billion under the concessional swap measures. The RBI also reported that the value of gold reserves climbed by USD 2.679 billion to USD 111.417 billion during the week. The special drawing rights (SDRs), meanwhile, decreased by USD 5 million to USD 18.74 billion. At the end of the reporting week, India's reserve position with the International Monetary Fund (IMF) was up by USD 5 million to USD 4.899 billion.