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India’s gold reserves increase by $3.53 billion to $90.299 billion during the week ended September 5, according to the RBI data.
With this, the country’s forex kitty is hovering close to its all-time high of $704.89 billion touched in September 2024.
Rising for the second consecutive week, India’s foreign exchange (forex) reserves jumped $4.038 billion to $698.268 billion during the week ended September 5, the RBI data said on Friday. The surge comes on the back of a significant rise in the value of gold reserves, which increased by $3.53 billion to $90.299 billion.
With this, the country’s forex kitty is hovering close to its all-time high of $704.89 billion touched in September 2024.
In the previous reporting week, the overall reserves had jumped by $3.51 billion to $694.23 billion.
Forex Update: India’s Foreign Currency Assets
For the week ended September 5, foreign currency assets, a major component of the reserves, increased by $540 million to $584.477 billion, the latest RBI data showed. 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.
Forex Update: India’s Gold Reserves
The gold reserves increased by $3.53 billion to $90.299 billion during the week, according to the RBI data.
Forex Update: India’s SDR & Reserve Position With IMF
The special drawing rights (SDRs) were down by $34 million to $18.742 billion. India’s reserve position with the IMF was up by $2 million at $4.751 billion in the reporting week, the Reserve Bank data showed.
RBI Increasing Gold Reserves, Decreasing US T-Bills
The Reserve Bank of India (RBI) is increasingly leaning on gold rather than US Treasury bills (USTs) to bolster its foreign exchange reserves, data from the US Department of the Treasury and the Reserve Bank of India (RBI) showed, according to the Economic Times recently.
India’s investments in US T-bills dropped to $227 billion in June 2025, from $242 billion a year earlier, while its gold holdings rose during the same period. Despite the reduction, New Delhi remains among the top 20 investors in US T-bills, ahead of Saudi Arabia and Germany.
After the last monetary policy review meeting, RBI Governor Sanjay Malhotra said the foreign exchange kitty was sufficient to meet 11 months of the country’s imports.
In 2023, India added around $58 billion to its foreign exchange reserves, contrasting with a cumulative decline of $71 billion in 2022.
In 2024, the reserves rose by a little over $20 billion. So far in 2025, the forex kitty has cumulatively increased by about $53 billion, according to data.
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 by managing liquidity, including selling dollars, to prevent steep depreciation of the rupee. The RBI strategically buys dollars when the Rupee is strong and sells when it weakens.
(With PTI Inputs)
Haris is Deputy News Editor (Business) at news18.com. He writes on various issues related to personal finance, markets, economy and companies. Having over a decade of experience in financial journalism, Haris h…Read More
Haris is Deputy News Editor (Business) at news18.com. He writes on various issues related to personal finance, markets, economy and companies. Having over a decade of experience in financial journalism, Haris h… Read More
September 12, 2025, 17:41 IST
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