New Delhi, 23 January. There has been a stormy surge in India’s foreign exchange reserves. In the week ending January 16, it increased by $ 14.167 billion to $ 701.360 billion. Earlier, in the week ending January 9, the country’s foreign exchange reserves had increased by $392 million.
Foreign currency assets (FCA), the largest component of foreign exchange reserves, have increased by $ 9.652 billion in the week ending January 16 and their value has increased to $ 560.518 billion. FCA includes the dollar along with other major currencies of the world such as yen, euro and pound, whose value is expressed in dollars. At the same time, the value of gold has increased by $4.623 billion to $117.454 billion.
According to the Reserve Bank of India (RBI), the value of SDR decreased by $ 35 million to $ 18.704 billion in the week ending January 16. The value of reserve positions in the IMF has decreased by $ 73 million to $ 4.684 billion.
Foreign exchange reserves all-time high of $704.89 billion
Earlier on October 17, 2025, the country’s foreign exchange reserves had reached the figure of $ 702.25 billion. The all-time high of the country’s foreign exchange reserves is $704.89 billion, which was made in September 2024.
For any country, its foreign exchange reserves are very important and it gives an idea of the economic condition of that country. Apart from this, it plays a big role in keeping the exchange rate of currency stable. For example, if in a situation there is more pressure on the rupee against the dollar and its value decreases, then the central bank can prevent the rupee from falling against the dollar by using foreign exchange reserves and keep the exchange rate stable.
The increasing foreign exchange reserves also show that the inflow of dollars into the country remains large and this strengthens the country’s economy. Besides, with its increase it also becomes easier for the country to do business abroad.
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