MUMBAI: India's foreign exchange (forex) reserves fell by $2.238 billion to $570.74 billion for the week ended August 12, the Reserve Bank of India (RBI) data showed. India's forex reserves have declined sharply in recent weeks as the Reserve Bank of India (RBI) sold dollars to defend the rupee.
There was a sharp drop in the foreign currency assets during the week under review.
India's foreign currency assets, which are the biggest component of the forex reserves, slumped by $2.652 billion to $506.994 billion during the week ended August 12, according to the Reserve Bank of India's weekly statistical supplement.
Expressed in US dollar terms, the foreign currency assets include the effect of appreciation or depreciation of non-dollar currencies like Euro, UK's Pound Sterling and Japanese Yen held in the foreign exchange reserves.
All other components of the country's forex reserves rose during the week under review. The value of gold reserves rose by $305 million to $40.618 billion during the week ended August 12.
The value of India's Special Drawing Rights (SDRs) with the International Monetary Fund rose by $102 million to $18.133 billion during the week under review, the RBI data showed.
India's reserve position in the International Monetary Fund (IMF) increased by $7 million to $4.994 billion during the week ended August 12, as per the RBI Weekly Statistical Supplement.