The day the day India had been waiting for the last 9 months, it was found to be seen. After October 2024, for the first time, the country’s Forex Reserve, or foreign exchange reserves crossed $ 700 billion. Well, India still needs $ 2 billion to break the Life Time High Record. By the way, this distance could have been less, if the last foreign exchange reserves do not see a decline of more than 1 billion dollars.
By the way, India’s foreign exchange reserves have seen an increase of $ 58.39 billion in the current year. The special thing is that many countries of the world do not even have such a total foreign exchange reserves. India is the fourth country in the world, which has the highest forex reserve. China, Japan and Switzerland are above India. Let us also tell you what kind of figures have been released by the Central Bank Reserve Bank of India of the country.
Forex reserve crossing $ 700 billion
According to RBI data, the Forex Reserve of the country has crossed $ 700 billion. In the week ended June 27, $ 4.84 billion rose to $ 702.78 billion. Finally, in October 2024, India’s Forex Reserve was seen crossing $ 700 billion. This means that the Forex Reserve of the country has reached a high of 9 months. By the way, more than 2 billion dollars will be required to break the record of alltime high of Forex Reserve of the country. Which can cross the next week. Foreign exchange reserves reached the highest level of $ 704.88 billion at the end of September 2024. In the previous week, foreign exchange reserves declined $ 1.01 billion to $ 697.93 billion.
Reduction in gold reserve
On the other hand, there has been a tremendous increase in India’s foreign currency assets. The RBI said on Friday that the foreign currency assets, which are the largest component of the reserves, have increased by US $ 594.82 billion during the week ended June 27. Foreign currency assets expressed in terms of dollars include the price increase or depreciation of non-American units like euros, pounds and yens placed in foreign exchange reserves. Apart from this, the Reserve Bank said that the gold reserve has seen a decline of $ 1.23 billion in the week ended June 27. After which the country’s gold reserve stood at $ 84.5 billion. The central bank said that the SDR increased by $ 15.8 million to $ 18.83 billion. Also, India’s reserved reserves with IMF also increased by $ 17.6 million to $ 4.62 billion.
Pakistan’s reserve also increased
On the other hand, the Forex Reserve of neighboring country Pakistan has also seen an increase. According to data released by State Bank of Pakistan, the State Bank of Pakistan (SBP) said on Wednesday that its foreign exchange reserves increased to $ 14.51 billion by June 30. Last month, during the week ended 6 June, the central bank’s reserves rose $ 167 million to $ 11.675 billion, although it failed to reach its target of $ 14 billion by the end of 2024–25 financial year. On June 30 last year, the country’s reserves increased by $ 5.12 billion to $ 14.51 billion as compared to $ 9.39 billion. The SBP said that it reflects the country’s current account balance and a significant improvement in the receipt of the employed during the year.
Bailout from China
Earlier this week, China gave a loan of more than $ 3.4 billion, two senior Pakistani government officials told Reuters, this step is expected to help in increasing the country’s foreign exchange reserves, which is a requirement of the International Monetary Fund. Sources said that Beijing has withdrawn $ 2.1 billion kept in SBP’s reserves for the last three years and has reflected a $ 1.3 billion commercial loan, which was repaid by Islamabad two months ago. One of the officials said that Middle East had received $ 1 billion from commercial banks and $ 500 million from multilateral financing.