India's Forex Reserves Dip Amid Global Economic Uncertainties

India's forex reserves decreased by USD 1.237 billion to USD 691.485 billion as of May 30, according to the RBI. This decline follows a significant increase in the previous week. Despite the drop, the reserves remain robust, capable of covering over 11 months of imports and 96% of external debt.

India's foreign exchange reserves saw a drop of USD 1.237 billion, standing at USD 691.485 billion as of the week ending May 30, as reported by the Reserve Bank of India (RBI) on Friday.

This comes after a notable upsurge of USD 6.992 billion in the previous week, bringing the reserves to USD 692.721 billion. The reserves had peaked at USD 704.885 billion in late September 2024.

RBI Governor Sanjay Malhotra emphasized that the reserves, albeit lowering, are sufficient to cover over 11 months of import goods and handle roughly 96% of external debt outstanding.

(With inputs from agencies.)