Forex reserves cross $300 b

Mumbai: India's foreign exchange reserves crossed the $300-billion mark for the first time since August 2008.

For the week ended November 5, 2010, India's forex reserves rose by $2.258 billion to $300.214 billion, according to the data in the weekly statistical supplement released by the Reserve Bank of India on Friday. The reserves rose on account of a $2.193-billion increase in the bank's foreign currency assets. For the week under review, foreign currency assets stood at $271.286 billion.

This is second week in succession where the central bank's foreign reserves have risen. The foreign exchange reserves for the previous week stood at $297.956 billion.

Foreign currency assets expressed in US dollar terms include the effect of appreciation or depreciation of non-US currencies such as the euro, sterling and yen, held in reserves. According to forex dealers, in the week under review, there was a valuation gain as the US dollar depreciated against other major currencies.

Gold reserves remained unchanged at $21.668 billion. SDRs rose by $43 million to $5.225 billion. The RBI's reserve position in the IMF grew by $22 million to $2.035 billion.