Modi effect: Forex reserves up $11 billion since April

May 25, 2014 15:17

India's forex reserve rose by close to $11 billion so far this fiscal on the back of massive inflows from overseas investors, who pumped in dollars into the domestic market on expectation of a strong and stable government under Narendra Modi.

The foreign exchange reserve stood at $314.92 billion as of May 16, the highest since October 2011 when it was $320.39 billion, according to the RBI data.

In May so far, FIIs have poured in $4.4 billion into equity and debt markets, as per data from Sebi.

Foreign currency assets (FCAs), the main constituent of the reserves, also rose around $12 billion to $287.816 billion in the period from March end to May 16.

FCAs, expressed in dollar terms, include the effect of appreciation/depreciation of the non-US currencies such as the euro, pound and yen held in reserves.

The rupee has appreciated around 3 per cent in the last fortnight, riding high on expectations of a slew of reforms from the incoming government, to end at 58.52 against the dollar on May 23.

Some analysts feel RBI's likely intervention so far to minimise volatility on account of sudden inflows from FIIs also helped in building the country's reserves.

« Back to LIVE

TOP STORIES

Vinesh gets what she demanded after public spat with WFI

WFI obtains accreditation of Vinesh Phogat's coach and physio for Asia Olympic qualifier

Congress spokesperson booked for hate speech in Kerala

The poll panel received the complaint from a native of Thiruvananthapuram, they said.

Case of EVM misfiring extra vote for BJP resolved, says EC

The Election Commission (EC) on Thursday said it has resolved the issue of some Electronic Voting Machines (EVM) showing an extra vote during a mock poll in the north Kerala district of Kasargod.

Vodafone Idea FPO opens to slow start, 26% shares subscribed

Debt-saddled telecom operator Vodafone Idea Ltd's Rs 18,000 crore follow-on offering (FPO) opened to a modest response on Thursday with just 26 per cent of shares on offer being sought by investors. Of the 1,260 crore shares on offer,...

HC seeks NCB's preliminary probe details against Sameer Wankhede

On Thursday, the bench, after perusing the plea copy, noted that Wankhede had approached the Central Administrative Tribunal, too, against the notices issued to him by the NCB.