India’s foreign exchange reserves decreased by USD 7.511 billion to USD 681.384 billion for the week ending May 22, as reported by the Reserve Bank of India (RBI) on Friday. This follows a decline in the previous week, where the reserves had fallen by USD 8.094 billion to USD 688.894 billion.
The reserves had peaked at an all-time high of USD 728.494 billion during the week ending February 27 this year. This increase was followed by a series of declines attributed to the ongoing conflict in the Middle East, which placed pressure on the rupee and prompted the RBI to intervene in the foreign exchange market through dollar sales.
Prime Minister Narendra Modi has urged citizens to conserve foreign exchange by reducing foreign travel, limiting fuel consumption, and refraining from purchasing gold for a year.
For the week ending May 22, foreign currency assets, a significant portion of the reserves, fell by USD 2.872 billion to USD 543.032 billion, according to the central bank. These assets, expressed in dollar terms, reflect the effects of currency fluctuations of non-U.S. units such as the euro, pound, and yen held in foreign exchange reserves.
Additionally, the value of gold reserves dropped by USD 4.53 billion to USD 114.786 billion during the same period, the RBI disclosed. The Special Drawing Rights (SDRs) were reduced by USD 77 million to USD 18.748 billion. Furthermore, India’s reserve position with the International Monetary Fund (IMF) decreased by USD 33 million, resulting in a total of USD 4.818 billion by the end of the reporting week.
Published on May 29, 2026.
