Forex reserves climb to all-time high of $330 billion

The Reserve Bank of India foreign exchange reserves rose to an all-time high of $330.2 billion for the week ended February 6, show data released on Friday.

The rise in reserves was $2.1 billion.

This is the second consecutive all-time high.

Foreign currency assets, a key component rose $1.6 billion to $304.9 billion.

The reserves have been rising because the central bank has been mopping dollar flows through state-run banks.

The first time foreign exchange reserves had touched an all-time high of $322.1 billion was in the week ended January 16. 

In the following week, the reserves had dropped slightly before touching another all-time high in the week ended January 30, at $327.88 billion.

During the week, gold reserves rose $805.3 million to $20.18 billion.

For the week under review, the Special Drawing Rights rose $21.8 million to $4.09 billion, while India's reserve position with the International Monetary Fund was down $130.3 million to $977.8 million.

Image: A currency dealer displays various currencies at his roadside money changer stall. Photographs: Athar Hussain/Reuters