As per RBI data, India’s foreign exchange reserves increased by USD 2.039 billion in the first week of October 2021.

Highlights

• Foreign exchange now stands at USD 639.516 billion.
• In the last week of September, reserves had dropped by USD 1.169 billion, accounting for a reserve of USD 637.477 billion.
• It had increased by USD 8.895 billion to a life time high, accounting for USD 642.453 billion during July end and September first week.
• India’s reserve position with the IMF decreased by USD 3 million, accounting for USD 5.225 billion in the reporting week.

Foreign Currency Assets (FCAs)

During the reporting week. Foreign reserves rose account of an increase in the Foreign Currency Assets (FCAs). FCA increased by USD 1.55 billion, accounting for USD 577.001 billion the week RBI reported.

What is FCA?

FCA is expressed in dollar terms. It comprises of the effect of appreciation or depreciation of non-US units such as euro, pound and yen held in the foreign exchange reserves.