The Reserve Bank reported on Friday that India’s foreign exchange reserves decreased by USD 1.268 billion to USD 561.583 billion in the week ending January 6.

After two consecutive weeks of decline, the overall reserves increased by USD 44 million to USD 562.851 billion in the preceding reporting week.

The country’s foreign exchange reserves reached an all-time high of USD 645 billion in October 2021. As the central bank utilised the reserves to safeguard the rupee against pressures generated by global events, the reserves have been decreasing.

Foreign currency assets (FCA), a significant component of total reserves, decreased by USD 1.747 billion to USD 496.441 billion during the week ending January 6, according to the RBI’s Weekly Statistical Supplement. The foreign currency assets include the impact of the appreciation or depreciation of non-U.S. units such as the euro, pound, and yen held in foreign exchange reserves.

It was reported that gold reserves climbed by USD 461 million to USD 41,784 billion. The Special Drawing Rights (SDRs) increased by USD 35 million to USD 18,217 billion, according to the world’s central bank.

The data indicated that the country’s reserve position with the International Monetary Fund (IMF) decreased by USD 18 million to USD 5.141 billion during the reporting week.