MUMBAI: India’s foreign exchange reserves rose by $300 million to a more than three-month high of $654.27 billion as of March 14, data released by the central bank on Friday showed.

They had risen by $15.3 billion in the prior week, the biggest jump since August 2021.

Changes in foreign currency assets are caused by the central bank’s intervention in the forex market as well as the appreciation or depreciation of foreign assets held in the reserves.

The rupee and most Asian currencies have been volatile due to an uncertain global risk environment, gripped by uncertainties surrounding global trade and growth from constant changes in U.S. tariff plans.

The RBI has repeatedly curtailed volatility in the forex market through dollar sales in the spot market and has also conducted dollar-rupee buy-sell swaps to help boost rupee liquidity in the banking system.

India’s foreign exchange reserves come off two-month highs

In the week to which the reserves data pertains, the rupee depreciated 0.1% week-on-week.

The currency ended at 85.9725 on Friday. It rose to a 10-week high of 85.9375 during Friday’s session and gained 1.2% in the week.

Foreign exchange reserves include India’s Reserve tranche position at the International Monetary Fund.

Foreign exchange reserves (in million US dollars)--------------------------------------------------                            March 14     March 07                               2025         2025--------------------------------------------------Foreign currency assets      557,186      557,282Gold                          74,391       74,325SDRs                          18,262       18,210Reserve Tranche Position       4,431        4,148--------------------------------------------------Total                        654,271      653,966--------------------------------------------------