Business: India’s foreign exchange reserves have once again shown a decline. This is the third consecutive week that its foreign exchange reserves have fallen. There was a decline of $276 million in its foreign exchange reserves during the week ending October 03. But this week its gold reserves increased by $3.753 billion. But overall foreign exchange reserves declined due to a decline of more than $6.04 billion in foreign currency assets.
How far have the reserves fallen?
According to data released by the Reserve Bank of India on Friday, India’s foreign exchange reserves have decreased by $276 million during the week ending October 3, 2025. A week before this, it had fallen by $2.33 billion. Now its reserves have reduced to $699.960 billion. It is noteworthy that earlier during the week ending September 27, 2024, its foreign exchange reserves were at a record high of $704.885 billion.
There was a huge reduction in FCA also
According to the weekly data released by the Reserve Bank, there has been a huge decline in India’s foreign currency assets during the week under review. Its Foreign Currency Assets (FCAs) declined by $4.049 billion during the week ending October 3, 2025. Even a week before this, it had decreased by $4.393 billion. Now its FCA reserves have reduced to $577.708 Billion. It is noteworthy that foreign currency assets or Foreign Currency Assets (FCA) constitute an important part of the total foreign exchange reserves of the country. Expressed in dollars, foreign currency assets also take into account the effects of movements in non-US currencies such as the euro, pound and yen.
Gold reserve increased
At present, almost all the central banks of the world are purchasing a lot of gold. This has happened here too. That is why there has been a huge increase in our gold reserves in the last week. According to the Reserve Bank, its gold reserves have increased by $3.753 billion during the week ending October 3. Even a week before this, it had increased by $2.238 billion. With this, its gold reserves have now increased to USD 98.770 billion. According to a report by Morgan Stanley, the Reserve Bank has purchased about 75 tonnes of gold since 2024. At present the gold reserves with RBI have reached 880 tonnes. This constitutes 14 percent of the total foreign exchange reserves of the country.
Slight increase in SDR
According to Reserve Bank data, there has been a slight increase in India’s Special Drawing Rights (SDR) last week. SDRs increased by $25 million during the week under review. However, there has been an increase of Rs 350 crore in term terms. Now it has increased to $18.814 billion. This week, the country’s reserve currency reserves kept with the International Monetary Fund (IMF) have decreased by 4 million dollars. Now it has come down to $4.669 Billion.
