India's Foreign Exchange Reserves Rise By $16.663 Billion To All-Time High Of $633.558 Billion

In a big boost for the Indian economy, the country's forex reserves have shot up by $16.663 billion to touch a lifetime high of $633.558 billion in the week which ended on 27 August, reports Livemint.

India's forex reserves comprise foreign currency assets (FCAs), gold reserves, special drawing rights (SDRs), and the country's reserve position with the International Monetary Fund (IMF).

The big gain was primarily led by the increase in India's Special Drawing Rights (SDR) holdings. This came as the International Monetary Fund (IMF) has allocated SDR 12.57 billion (equivalent to $17.86 billion) to India.

With the new allocations, India's SDR holdings have reached $19.407 billion. The country's gold reserves have also increased by $192 million to reach a $37.441 billion. Also, the country's reserve position with the IMF has increased by $14 million to a size of $5.22 billion in the week which ended on 27 August.

Meanwhile, the foreign currency assets, which form a major component of the overall reserves, have declined by $1.409 billion to $571.6 billion.

Expressed in dollar terms, the foreign currency assets include the effect of appreciation or depreciation of non-US units like the euro, pound and yen held in the foreign exchange reserves.