The country's foreign exchange reserves have declined by over $6 billion in the month of May, so far, mainly due to currency revaluation.
According to the latest Weekly Statistical Supplement from Reserve Bank of India, forex reserves declined by $2.042 billion to $307.393 billion during the week ended May 13. This is the second week in a row that forex reserves have fallen.
In the preceding week ended May 6, forex reserves fell by $3.976 billion to $309.535 billion.
In the week under consideration, foreign currency assets fell by $1.979 billion to $5.273 billion. Foreign currency assets expressed in US dollar terms include the effect of appreciation or depreciation of non-US currencies such as euro, sterling and yen held in reserves.
This week saw the euro weaken against the dollar from $1.140 to $1.429. It had touched a low of $1.417 during the week.
In the week under review, gold was unchanged at $23.790 billion. SDRs fell by $38 million to $4.596 billion and the country's reserve position in the IMF fell by $25 million to $2.964 billion.