According to the statistical supplement released by the Reserve Bank of India (RBI), India's foreign exchange reserves reached a 9-month high of $586.41 billion for the week ending on April 14th, marking a second consecutive weekly increase.
The data revealed a $1.65 billion rise from the previous week, while the reserves had already surged by $6.3 billion in the week ending on April 7th.
To avoid abrupt fluctuations in the value of the rupee, the central bank interferes in both spot and forwards markets. Furthermore, alterations in forex reserves can result from either positive or negative fluctuations in valuation.
During the week in question, the Indian rupee had a narrow increase against the United States dollar and was traded within the range of 81.77 to 82.15.
In the week that ended on April 21st, the Indian rupee concluded at a rate of 82.09 on Friday, which put a stop to its continuous upward momentum for four consecutive weeks.