India's forex reserves dip by $1.16 billion

Hit by the revaluation of international currencies, India's foreign exchange reserves dipped by a massive $1.16 billion for the week ended June 3, 2005.

The country's forex reserve now stands at $1,38,661, a fall of $1,168 million, during the week under review, according to the Reserve Bank of India's weekly stastical supplement released here today.

India's foreign exchange reserves had increased by $175 million for the week ended May 27, 2005 after registering a decline for the previous four weeks.

Analysts have blamed the fall in reserves on the revaluation of international currencies.

The foreign currency assets also took a hit, falling by $1,218 million to $1,32,730 million for the reporting week.

Gold reserves also fell by $67 million to $4,376 million while Special Drawing Rights (SDRs) remained static at $4 million.

The country's reserve tranche position rose by $117 million to $1,551 million, it said.

Loans and advances to the state government decreased by Rs 712 crore to Rs 183 crore while that to the central government showed a nil balance.