CURRENT AFFAIRS

Detailed explanation-1: -From $632.74 billion as of January 7, 2022, the reserves declined to $562.851 billion as of December 30, 2022, even as the Reserve Bank of India used its forex arsenal to stabilise the rupee and cushion the capital outflows.

Detailed explanation-2: -In this paper, foreign exchange reserves include foreign currency assets, reserve tranche positions and special drawing rights (SDRs) of the International Monetary Fund (IMF). India’s stock of reserves increased from US$ 145.9 billion in 2005-06 to US$ 322.6 billion in 2014-15.

Detailed explanation-3: -The Economic Survey 2012-13 presented by the Union Finance Minister, P. Chidambaram in the Lok Sabha today has stated that the Foreign Exchange Reserves in the current fiscal, on month-on-month basis remained in the range of US $ 286.0 billion (at end-May 2012) to US $ 295.6 bn (at end-December 2012).

Detailed explanation-4: -While the rupee weakened against the US currency, the extent of depreciation wasn’t as much as many other currencies, partly due to the RBI selling dollars from its reserves. As on February 25, 2022, which was around the time that Russia invaded Ukraine, RBI’s foreign exchange reserves stood at $631.53 billion.