Forex reserves zoom $5.5 bn to cross $280 bn mark
Substantial inflows during the week are believed to have come to fund a slew of IPOs that are set to hit the market.
By TNN |
MUMBAI: Foreign exchange (Forex) reserves rose $5.5 billion during the week ended January 11 to cross $280-billion mark. Substantial inflows during the week are believed to have come to fund a slew of IPOs that are set to hit the market. Back home, bank loans have failed to keep a strong growth momentum, but the growth in money supply in the system is still above the central bank’s comfort levels.
According to the figures released by the Reserve Bank of India in its weekly statistical supplement, forex reserves, including gold and SDR, rose $5,474 million during the week to touch $281.73 billion during the week ended January 11. Almost the entire growth in reserves during the week has been on account of a growth in foreign currency assets. The level of gold and SDR in reserves remained unchanged during the week. However, the reserves with the IMF rose $1 million during the week.
In the banking sector, aggregate deposits mobilised by banks amounted to Rs 29,88,207 crore as on January 4, 2008, up Rs 46,292 crore over the previous fortnight’s levels. While demand deposits dipped Rs 12,244 crore, term deposits rose Rs 58,477 crore. On the other hand, total loans amounted to Rs 21,46,518 crore as on January 4, up Rs 24,753 crore over the previous fortnight’s levels.
While food credit rose Rs 1,015 crore, non-food credit rose Rs 23,737 crore. Since the quarter-ended December fell during the fortnight, the growth in credit is not significant, as banks often tend to shore up loan and deposit figures to show a good business growth. As per the updated money supply figures, the total stock of money in the system amounted to Rs 37, 50,334 crore as on January 4, up Rs 47,540 crore over the previous fortnight’s levels.
While the currency with the public and term deposits rose Rs 983 crore and Rs 58,362 crore, respectively, demand deposits with commercial banks dipped Rs 11,953 crore. At the current levels, the annual growth year-on-year (Y-o-Y) works out to be 22.4%, way above the central bank’s comfort level of 17.5%, for the financial year so far.
In other developments reported in the WSS, the central as well as state governments have refrained from resorting to ways and means advances (WMA) — a temporary overdraft to meet its revenue mismatches. The Centre, on the other hand, has parked an additional Rs 10,211 crore of its unspent revenue with the central bank during the week ended January 11, to take the outstanding surplus to Rs 26,826 crore.
According to the figures released by the Reserve Bank of India in its weekly statistical supplement, forex reserves, including gold and SDR, rose $5,474 million during the week to touch $281.73 billion during the week ended January 11. Almost the entire growth in reserves during the week has been on account of a growth in foreign currency assets. The level of gold and SDR in reserves remained unchanged during the week. However, the reserves with the IMF rose $1 million during the week.
In the banking sector, aggregate deposits mobilised by banks amounted to Rs 29,88,207 crore as on January 4, 2008, up Rs 46,292 crore over the previous fortnight’s levels. While demand deposits dipped Rs 12,244 crore, term deposits rose Rs 58,477 crore. On the other hand, total loans amounted to Rs 21,46,518 crore as on January 4, up Rs 24,753 crore over the previous fortnight’s levels.
While food credit rose Rs 1,015 crore, non-food credit rose Rs 23,737 crore. Since the quarter-ended December fell during the fortnight, the growth in credit is not significant, as banks often tend to shore up loan and deposit figures to show a good business growth. As per the updated money supply figures, the total stock of money in the system amounted to Rs 37, 50,334 crore as on January 4, up Rs 47,540 crore over the previous fortnight’s levels.
While the currency with the public and term deposits rose Rs 983 crore and Rs 58,362 crore, respectively, demand deposits with commercial banks dipped Rs 11,953 crore. At the current levels, the annual growth year-on-year (Y-o-Y) works out to be 22.4%, way above the central bank’s comfort level of 17.5%, for the financial year so far.
In other developments reported in the WSS, the central as well as state governments have refrained from resorting to ways and means advances (WMA) — a temporary overdraft to meet its revenue mismatches. The Centre, on the other hand, has parked an additional Rs 10,211 crore of its unspent revenue with the central bank during the week ended January 11, to take the outstanding surplus to Rs 26,826 crore.
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