India’s forex store dips faster

Share with Your Friends

India’s forex store dips faster

Recently, India’s foreign exchange reserves have fallen from a peak of $642 billion in September last year to about $ 530 billion.

Reasons for the fall in India’s ‘Foreign Exchange Reserves’:

  • Decline in the value of assets in dollars and other currencies by RBI.
  • Central bank intervention in the money market to protect the rupee. For example, the RBI has sold a total of $15 billion since the beginning of 2022 to protect the rupee.

Impact: This can lead to an increase in the ‘Current Account Deficit’. The ‘Current Account Deficit’ for the current fiscal ending March 2023 is expected to be above 3% of GDP.

Steps taken by RBI:

RBI had announced measures to liberalize foreign exchange inflows, including giving foreign investors access to a substantial portion of government debt and giving banks wider opportunities to raise more deposits from non-residents.

Source – The Hindu

Download Our App

More Current Affairs

Click to Join Our Current Affairs WhatsApp Group

Join Our Whatsapp Group For Daily, Weekly, Monthly Current Affairs Compilation & Daily Mains Answer Writing Test & Current Affairs MCQ

In Our Current Affairs WhatsApp Group you will get daily Mains Answer Writing Question PDF and Word File, Daily Current Affairs PDF and So Much More in Free So Join Now

Register For Latest Notification

Register Yourself For Latest Current Affairs

December 2022
« Nov    

Mains Answer Writing Practice

Recent Current Affairs (English)

Current Affairs (हिन्दी)

Subscribe Our Youtube Channel

Register now

Get Free Counselling Session with mentor

Download App

Get Youth Pathshala App For Free

Open chat
Youth Destination IAS . PCS
To get access
- NCERT Classes
- Current Affairs Magazine
- IAS Booklet
- Complete syllabus analysis
- Demo classes