India's Foreign Exchange Reserves Dip to Eight-Month Low at $640.28 Billion

Investing.com -- The Reserve Bank of India (RBI) announced on Friday that the country's foreign exchange reserves have decreased for the fourth consecutive week, dropping to $640.28 billion as of December 27, the lowest level in eight months. The reserves fell by $4.1 billion during the reported week, following a total decline of $13.7 billion over the previous three weeks. The drop in foreign assets can be attributed to the RBI's intervention in the foreign exchange market and fluctuations in the value of foreign assets within the reserves. The central bank's intervention aims to manage excessive volatility in India's local currency, the rupee. Despite these efforts, the rupee declined to a historic low of 85.8075 last week, losing approximately 0.3% during the period.