Key Points:
- Total Forex Reserves: India’s foreign exchange reserves increased from $682.354 billion to $692.866 billion during the week ended 31 July 2026.
- Weekly Increase: The reserves rose by $10.512 billion, following an increase of $6.118 billion in the previous reporting week.
- Foreign Currency Assets: Foreign Currency Assets, the largest component of forex reserves, increased by about $8.75 billion to $564.68 billion.
- Gold Reserves: India’s gold reserves increased by approximately $1.685 billion to $104.743 billion during the week.
- Special Drawing Rights: India’s SDRs increased by $48 million to $18.666 billion. SDRs are international reserve assets created by the International Monetary Fund.
- IMF Reserve Position: India’s reserve position with the IMF increased by around $28 million to $4.778 billion.
- Reason for Rise: A major contributor was strong foreign-currency inflows, including funds mobilised through the RBI-supported FCNR(B) deposit initiative. Reuters reported that $36.7 billion had been mobilised through the drive by 31 July.
- Importance: Higher forex reserves strengthen India’s ability to manage external shocks, meet foreign-currency obligations and help the RBI reduce excessive volatility in the Indian rupee. RBI Governor Sanjay Malhotra said reserves remained comfortable on standard adequacy measures.
Question:
Q1. India’s foreign exchange reserves stood at approximately how much for the week ended 31 July 2026?a) $652.87 billion
b) $672.87 billion
c) $692.87 billion
d) $712.87 billion
Answer: c) According to RBI data released on 7 August 2026, India’s forex reserves increased by $10.512 billion to $692.866 billion for the week ended 31 July 2026. Foreign Currency Assets and gold reserves accounted for most of the increase. (
