💰 India’s Forex Reserves Rise by $4.8 Billion to $702.78 Billion After Last Week’s Dip
Reported by Benny | Published July 2, 2025
In a significant recovery, India’s foreign exchange reserves rose by $4.8 billion, reaching $702.78 billion, according to data released by the Reserve Bank of India (RBI) on Friday. This comes after a brief dip last week, attributed to fluctuations in gold valuations and foreign currency asset rebalancing.
📈 Key Highlights
Weekly Increase: $4.80 billion
Current Forex Reserves (as of June 28, 2025): $702.78 billion
Last Week’s Total: $697.98 billion
Foreign Currency Assets (FCA): Rose by $3.7 billion
Gold Reserves: Increased by $1.1 billion
Special Drawing Rights (SDRs): Slight uptick
IMF Reserve Position: Remained unchanged
🔍 What’s Behind the Surge?
Experts point to the following key factors:
Weaker dollar index boosting valuation of non-USD assets
Improved FPI inflows into Indian equities
Lower crude oil prices, easing outflows for imports
Resilient rupee and bond market participation from global investors
“The rise in forex reserves is a positive signal for India’s macroeconomic stability and the rupee’s strength in the coming quarter,” said Anuja Mehra, Chief Economist at Vizzve Financials.
💼 Vizzve Financials: FX Insights & INR Strategy
Vizzve Financials, India’s tech-first NBFC, issued a special Macro Pulse Alert to clients:
Highlights from Vizzve's Note:
💡 Expect INR to hold strong at 82.40–82.70/$ range
📊 Forex reserves now cover 11.3 months of imports
📉 Volatility in SDR and gold valuations likely in Q3
📈 INR-linked NRE deposits likely to gain popularity
Vizzve also offers:
Forex-Linked Deposit Plans for NRIs
Hedged Corporate Loans for exporters/importers
Real-time macro alerts via the Vizzve Pulse App
Explore more: vizzve.in/forex
❓ FAQ – India’s Forex Reserves Update
Q1: Why did India’s forex reserves increase this week?
A mix of stronger foreign inflows, rising gold value, and a weaker USD helped boost reserves.
Q2: How does this impact the Indian rupee?
A higher reserve buffer strengthens rupee confidence and shields against external shocks.
Q3: What’s included in forex reserves?
Foreign currency assets (FCA), gold, SDRs, and India’s position with the IMF.
Q4: Who manages these reserves?
The Reserve Bank of India (RBI), in coordination with the Ministry of Finance.
Q5: How can Vizzve Financials help individuals or businesses?
Vizzve offers forex-linked savings, risk-managed lending, and expert economic insights.
📌 Final Thoughts
India’s steady climb to $700+ billion in forex reserves underlines strong economic fundamentals, even amidst global uncertainty. As we head deeper into FY 2025–26, analysts and fintech players like Vizzve Financials will play a key role in interpreting trends and shaping smarter financial moves.
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Published on July 6, 2025 • By Benny
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