RBI net-sold $19.05 billion in forex market in July to protect rupee

RBI's forward purchases fell $9 bln in July as interventions spread across spot, forwards

The Reserve Bank of India (RBI) net sold $19.05 billion in the foreign exchange market in July as it sought to defend the rupee from excessive volatility.

The central bank’s net sales of the US dollar in July were the highest since March 2022, when the sales were at $20.10 billion.

In July, the RBI sold $38.7 billion in the foreign exchange market and bought $19.72 billion, the data in the central bank’s September 2022 Bulletin showed.

In July, the rupee depreciated 0.4 per cent versus the US dollar. The domestic currency had shed 1.7 per cent versus