Current Affairs - Economy - Discussion

As of August 8, 2025, India’s foreign exchange reserves surged by $4.74 billion to reach $693.62 billion. This increase was driven by gains in foreign currency assets, gold reserves, Special Drawing Rights (SDRs), and India’s reserve position with the International Monetary Fund (IMF). Foreign currency assets alone rose by $2.37 billion, while gold reserves added $2.16 billion. The rise highlights India’s strong external sector fundamentals, with the reserves positioned close to their all-time high of $704.885 billion recorded in September 2024. Such robust reserve levels enhance India’s ability to cushion external shocks, stabilise the rupee, and maintain financial resilience.