India's forex reserves up by $5.5 billion at $629.55 billion as of January 24, 2025

India's foreign exchange reserves were up by $5.5 billion to settle at $629.55 billion as of the week ending January 24, 2025, Reserve Bank of India data showed on Friday.

The reserves have been on a declining trend for the last few weeks, and the drop has been attributed to revaluation, along with forex market interventions by the Reserve Bank of India (RBI) to help reduce volatilities in the rupee.

The forex reserves had increased to an all-time high of USD 704.885 billion in end-September.


The primary driver of this growth were foreign currency assets that increased by $4.7 billion to settle at $537.89 billion.

Meanwhile, Gold reserves increased to $69.65 billion, up by $704 million during the same week, the central bank data said.

The Weekly Statistical Supplement released by the RBI showed that Special Drawing Rights (SDRs) increased by $79 million to settle at $17.86 billion.

IMF was up $33 million at $4.1 billion.

The country's forex reserves had dropped by $1.8 billion for the week ending January 17, 2025 and had settled at $623.98 billion.

India's forex kitty

The central bank releases India's forex reserves' data every Friday, closely monitoring the economic indicator of foreign trade.

The RBI, from time to time, intervenes in the market through liquidity management, including through the selling of dollars, with a view to preventing a steep depreciation in the rupee.

The RBI closely monitors the foreign exchange markets and intervenes only to maintain orderly market conditions by containing excessive volatility in the exchange rate, without reference to any pre-determined target level or band.