Why is there a fall in India’s foreign exchange reserves?

GS Paper 3: Topics Covered: Indian Economy and issues related to planning.   Context: India’s forex reserves have dropped below $600 billion, plunging by about $45 billion since September 3, 2021, when forex reserves stood at an all-time high of $642 billion.   Reasons behind drop in India’s forex reserves: The drop is because of …

Rising forex reserves and its importance

Topics Covered: Indian Economy and issues relating to planning, mobilization of resources, growth, development and employment. Rising forex reserves and its importance What to study? For Prelims: Components of Forex reserves. For Mains: Rising forex- reasons, significance and how to utilise it? Context: Amid pandemic, India’s foreign exchange reserves are rising and are slated to …