India's forex reserves dip to $696.7 billion
India's foreign exchange reserves dropped by $3.06 billion to $696.7 billion for the week ending July 11, 2025.
Most of this dip came from a fall in foreign currency assets, but reserves are still just shy of last year's record high of $704.885 billion.
Reserves can cover 95% of India's external debt
The RBI says these reserves can cover 95% of India's external debt due by March 2025 and pay for over 11 months of imports—basically acting as a safety net if things get rough globally.
Even with some rupee depreciation in June, India's currency stayed pretty steady compared to other emerging markets, thanks to these strong reserves and RBI's active moves in the market.
RBI switched gears and became a net buyer of dollars
In May, the RBI switched gears and became a net buyer of dollars after selling in April.
This helped keep the rupee stable despite global tensions—a sign that India's financial toolkit is holding up well under pressure.