On Friday, the Reserve Bank of India said the country's forex reserves scaled to a new high of USD454.492 billion due to accretion worth USD 1.07 billion for the week ended December 13. In the earlier reporting week, forex kitty swelled by USD 2.342 billion to USD 453.422 billion.
The main reason fuelling the jump in forex reserves in the current reporting week is an increase in foreign currency assets, which is one of the chief component of the total forex reserves. As per the data, foreign currency assets increased to USD 422.422 billion, with an increase of USD 1.163 billion.
The foreign currency assets, denoted in dollar terms, include the effect of depreciation or appreciation of non-US currencies including pound, yen and the euro that form part of the country's forex reserves.
Further during the week, there has been reported a decrease in gold reserves by USD 110 million to USD 26.968 billion. The SDRs or special drawing rights with the IMF surged by USD 2 million to USD 1.444 billion. Also, the country's reserve position with the international monetary fund also increased to USD 3.658 billion, with an increase of USD 14 million.