Indias Forex Reserves Dip From $3.06 Bn To $696.67 Bn, Second Straight Weekly Decline
In the week ending July 11, foreign currency assets—the major component of forex reserves—fell by USD 2.477 billion to USD 588.81 billion, likely emerging as the primary reason behind the decline in total reserves. Gold reserves, another key component, also saw a sharp fall of USD 498 million, bringing them down to USD 84.348 billion.
The country's Special Drawing Rights (SDRs) with the International Monetary Fund (IMF) declined by USD 66 million to USD 18.802 billion during the reporting week, as per the RBI data. The Reserve Position in the IMF also decreased by USD 24 million.
Central banks worldwide are increasingly accumulating safe-haven gold in their foreign exchange reserves, and India is no exception. The share of gold maintained by the RBI in its forex reserves has nearly doubled since 2021.
In 2023, India added around USD 58 billion to its forex reserves, in contrast to a cumulative decline of USD 71 billion in 2022. In 2024, the reserves rose by a little over USD 20 billion, reaching an all-time high of USD 704.885 billion at the end of September.
India's foreign exchange reserves are currently sufficient to cover 11 months of the country's imports and about 96 per cent of its external debt, said Governor Sanjay Malhotra while announcing the outcome of the Monetary Policy Committee (MPC) decisions.
The RBI Governor expressed confidence, stating that India's external sector remains resilient, with key vulnerability indicators showing improvement.
Foreign exchange reserves, or FX reserves, are assets held by a nation's central bank or monetary authority, primarily in reserve currencies such as the US Dollar, with smaller portions in the Euro, Japanese Yen, and Pound Sterling.
The RBI often intervenes in the forex market to manage liquidity—selling dollars to prevent steep rupee depreciation and buying dollars when the rupee is strong.
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Business Standard
14 minutes ago
- Business Standard
India's Billionaire Belt - Where Luxury Housing Demand is Soaring in 2025
NewsVoir Delhi NCR [India], July 26: The term 'Billionaire Belt' captures more than just a cluster of wealthy neighborhoods--it reflects a new geography of aspiration taking shape in India. Stretching across parts of Delhi-NCR, this belt is defined by a rare convergence where rising concentrations of ultra-rich individuals, a maturing luxury real estate market, and world-class infrastructure that supports global lifestyles can be observed. Delhi-NCR recorded a 209.4% spike in luxury home sales in the last one year. Nearly 3,960 homes priced at ₹6 crore and above were sold in just the first half of 2025, up over three times from 1,280 units last year, according to a new CBRE-ASSOCHAM report. Over half of the country's luxury transactions now flow through this region--an unmistakable sign of where wealth is choosing to settle. Gurugram and Noida lead this wave, with high-value launches dotting their micro-markets. What's driving this surge is the union of factors like rising disposable incomes of buyers along with the growing desire for larger and well-located homes owing to post-pandemic lifestyle upgrades. On top of that, the surge in HNIs and NRIs across India, particularly in and around the capital, is quietly but powerfully reshaping the contours of luxury housing. Looking at the bold yet considered choices of these buyers, developers are focusing more on transparency, experience, and high-end finishes, boosting buyer trust. Complementing this, RBI's pause on rate hikes has made home loans relatively more attractive, even in the luxury segment. Mohit Gawri, Vice President-Sales, RISE Infraventures says, "Luxury housing demand is being shaped by a new psychology of permanence. Buyers aren't flipping properties--they're curating generational homes. The NCR's billionaire belt reflects this shift with high-end homes getting booked early. There's also strong NRI traction and domestic movement from metro cores to planned peripheries, showing that buyers are investing in homes that feel like sanctuaries and signal permanence." Salil Kumar, Director, Marketing and Business Management, CRC Group says, "A home is more than a personal landmark-- it is a reflection of success. In the luxury segment, there is virtually no upper ceiling; from sprawling bungalows in posh locations like South Delhi to sky villas in Gurugram, high-net-worth individuals seek homes that match their ambition. But with supply tightening in legacy zones, buyers are exploring new luxury corridors across Noida-Greater Noida. These locations are the new epicentres of luxury demand, and the momentum here is only set to grow. At CRC, we've been mindful of this lifestyle shift, catering to buyers who view their home as both a retreat and a lasting legacy." Besides, tier-II cities or second-home destinations like Sonipat, Kundli, and Chandigarh are witnessing a significant rise in demand within the luxury real estate segment. Buyers are increasingly drawn to locations that offer cleaner air, lush surroundings, and a peaceful lifestyle, which is not possible in fast-paced metro cities. Gurpal Singh Chawla, Managing Director, TREVOC Group, says, "Luxury homebuyers prioritize space, privacy, and long-term value over just centrality. However, post-pandemic, they are more inclined towards locations that offer scenic value, rental potential, and a quality lifestyle. Against this backdrop, tier 2 locations like the Sonipat-Kundli belt are witnessing a quiet luxury surge, going beyond the title of Delhi spillover. Business owners, professionals, and legacy families from the capital are investing here for larger land parcels and less congestion, reflecting an appetite for locations with urban access and suburban tranquillity." Umang Jindal, CEO, Homeland Group, says, "Tier-2 cities are the next luxury frontier, especially among NRIs, industrialists, and second-home seekers. This shift is putting cities like Chandigarh at the forefront of high-end housing demand. With its planned infrastructure, cleaner environment, and cultural refinement, the region is a haven for expansive homes, wellness-centric communities, and a sense of balance. Thus, demand here isn't incidental--it's accelerating, making tier 2 locations India's most sought-after luxury housing destinations." Moreover, on the sales and supply front, during April-June quarter housing sales in Delhi-NCR rose by 16% to more than 11,700 units on high demand for luxury homes and new launches, according to PropEquity. New supply was estimated at 13,823 units in the second quarter of this year, up 37% from 10,084 units in the year-ago period. Sanjay Sharma, Director, SKA, says, "Gurugram continues to lead NCR's luxury housing evolution, driven by a clientele that values brand legacy, prime addresses, and architectural statement. Branded residences, especially along corridors like the Dwarka Expressway, are being viewed as generational assets. The demand here is as much emotional as it is financial, turning Gurugram's billionaire belt a proven destination for enduring value." Therefore, as India's wealth landscape continues to expand, the term Billionaire Belt is evolving from a metaphor into a tangible force in the country's real estate story. This belt is no longer just about prime locations--it's about ecosystems that support legacy living, global connectivity, and lifestyle integration at the highest level.
News18
23 minutes ago
- News18
India To Maintain 6-6.5% Real GDP Growth In FY26 On Resilient Domestic Demand: UBS
Last Updated: UBS notes that India is less vulnerable to global trade shocks than many other Asian economies due to its limited goods trade dependence and a strong services export sector. India is expected to sustain a robust 6-6.5% real GDP growth in FY26, driven by resilient domestic consumption and potentially lower global crude oil prices, according to the latest report by UBS. This projection comes despite headwinds from recent tariff increases. UBS noted that India is less vulnerable to global trade shocks than many other Asian economies due to its limited goods trade dependence and a strong services export sector, which now makes up about 47% of total exports. The report also highlighted a continued policy emphasis on improving monetary transmission. With a total 100 basis points repo rate cut already implemented in calendar year 2025, UBS analysts suggest there may be room for another 25-50 bps of rate easing if inflation stays benign and external risks begin to weigh on growth momentum. Additionally, the report forecasts a reduction in fiscal drag, with the central government likely to accelerate capital expenditure targets. It also pointed to the possible reduction in retail diesel and petrol prices ahead of Diwali and the Bihar state elections in October-November, which could boost household disposable income and further support consumption. India's economy grew by 7.4 per cent in the January-March quarter (Q4) of FY25, beating expectations and marking the strongest quarterly growth of the fiscal year. This was a sharp rise from the 6.2 per cent recorded in the previous quarter. Chief Economic Advisor V Anantha Nageswaran expressed optimism about the country's economic trajectory, stating: 'India's economy is in good shape despite the challenging global environment." The International Monetary Fund (IMF), in its April 2025 World Economic Outlook, echoed similar confidence, projecting India to remain the fastest-growing major economy for the next two years. The IMF estimates 6.2% growth in 2025 and 6.3% in 2026, underscoring India's strong momentum and leadership in global growth. view comments First Published: July 26, 2025, 15:15 IST Disclaimer: Comments reflect users' views, not News18's. Please keep discussions respectful and constructive. Abusive, defamatory, or illegal comments will be removed. News18 may disable any comment at its discretion. By posting, you agree to our Terms of Use and Privacy Policy.
Time of India
42 minutes ago
- Time of India
Sri Lanka to extend its visa-free travel policy for 40 countries; India also on the list
In a bid to boost tourism and recover from an economic crisis, Sri Lanka has announced plans to extend its free tourist visa policy to 40 additional countries, according to a news shared by PTI. The news was confirmed by Sri Lanka's Foreign Affairs and Tourism Minister Vijitha Herath during the inauguration of the 'Hotel Show Colombo 2025'. As of now, there were only seven countries, including India which were allowed visa-free entry in Sri Lanka. The decision comes after the cabinet approved to expand the list to 40 countries. However, the Government of Sri Lanka will have to suffer an annual revenue loss of USD 66 million because of visa fee waiver, mentioned the minister. But he also said that indirect economic benefits from increased tourist footfall would be more than the loss. The initiative aims to boost tourism as part of Sri Lanka's economic recovery following the COVID-19 pandemic and the 2022 financial crisis. 'We have stabilised the economy, and through policy changes in tourism, we aim to ensure steady growth in arrivals,' the minister said. The visa waiver is one of the well-planned strategic moves to boost the economy of the country. by Taboola by Taboola Sponsored Links Sponsored Links Promoted Links Promoted Links You May Like Salma Hayek, 58,Shows Her Huge Size In New Photos Boite A Scoop Undo Earlier, visa fee waivers were limited to seven countries, including China, India, and Japan. The trial phase began in March 2023 and it was deemed successful. Following the success, the Cabinet has decided to extend the policy to 40 more countries, to attract worldwide travellers. New List of countries: United Kingdom of Great Britain and Northern Ireland Federal Republic of Germany Kingdom of the Netherlands Kingdom of Belgium Kingdom of Spain Commonwealth of Australia Republic of Poland Republic of Kazakhstan Kingdom of Saudi Arabia United Arab Emirates Federal Democratic Republic of Nepal People's Republic of China Republic of India Republic of Indonesia Russian Federation Kingdom of Thailand Federation of Malaya Japan Republic of France United States of America Canada Czech Republic (Czechia) Republic of Italy Swiss Confederation (Switzerland) Republic of Austria State of Israel Republic of Belarus Islamic Republic of Iran Kingdom of Sweden Republic of Finland Kingdom of Denmark Republic of Korea State of Qatar Sultanate of Oman Kingdom of Bahrain New Zealand State of Kuwait Kingdom of Norway Republic of Türkiye The Free Visa policy is already for 7 nations, including India, China, Indonesia, Russia, Thailand, Malaysia, and Japan. Now, these countries are also now part of the list.
