After two weeks of decline, the foreign exchange reserves have increased again, after reports came on Thursday that the RBI has sold dollars through public sector banks to stop the fall in the rupee. In the week ended August 11, the reserves increased by $ 708 million to $ 602.161 billion, which was $ 601.45 billion in the previous week.
According to the Reserve Bank of India (RBI) forex reserves, foreign exchange reserves rose by $999 million to $534.39 billion in the week ended August 11, 2023. The reserve has decreased by $ 2 million and it is $ 5.098 billion.
This week, the rupee has seen weakness against the dollar in the currency market. The rupee has again slipped below the level of 83. On Friday, August 18, 2023, the rupee has closed at the level of 83.10 against a dollar. Foreign investors have been continuously selling in Indian markets for this week and the last few days. There has been an increase. However, it still remains below the high of $ 645 billion in October 2021.
If the rupee remains below the 83 level against the dollar for a long time, then the RBI can intervene further to strengthen the rupee. It is believed that the RBI can sell dollars like last year so that the fall in the rupee can be stopped.
