Forex reserves rise $4.8 billion to record $652 billion

MUMBAI: India’s foreign exchange reserves jumped $4.8 billion to hit a record high of $651.5 billion in the week ended May 31, 2024, with the current account deficit significantly shrinking during Q4 FY24 due to strong growth in services and robust remittances.
In his monetary policy statement, RBI governor Shaktikanta Das said India’s external sector remains resilient and that key external vulnerability indicators continue to improve.Incidentally, India Ratings said in a report that the current account in Q4 FY24 was likely to have turned into a surplus for the first time in 10 quarters.
“The phenomenal rise of GCCs in India has provided a significant boost to India’s software and business services exports,” said Das.