India’s foreign exchange reserves have increased for the second consecutive week, bringing positive news for the economy. The Reserve Bank of India (RBI) has also provided relief to the public by cutting interest rates and making borrowing cheaper. While India sees growth, Pakistan is facing a worrying trend as its forex reserves continue to decline for the second week in a row.
India’s Forex Reserves Reach USD 630.6 Billion
According to the latest data from the RBI, India’s foreign exchange reserves stood at USD 630.6 billion as of January 31, 2025. This marks an increase of USD 1.05 billion compared to the previous week. However, the reserves are still below their all-time high of USD 704.88 billion, which was recorded in September last year.
Increase in Gold Reserves
One of the key factors contributing to this rise is an increase in gold reserves, which grew by USD 1.2 billion, reaching a total of USD 70.89 billion. However, foreign currency assets declined, now standing at USD 537.68 billion. The RBI’s Weekly Statistical Supplement also reported that Special Drawing Rights (SDRs) increased by USD 29 million, reaching USD 17.89 billion. Meanwhile, India’s reserves held with the International Monetary Fund (IMF) have witnessed a slight decline.
Pakistan’s Forex Reserves Decline
While India’s forex reserves continue to rise, Pakistan is experiencing a downward trend. During the last week of January, Pakistan’s foreign exchange reserves fell by USD 8 million, bringing the total to USD 16.044 billion. This drop highlights the ongoing economic challenges faced by the country.
India’s steady increase in forex reserves provides economic stability, while Pakistan’s decline raises concerns for its financial future.
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India gains, Pakistan struggles: Forex reserves rise to Rs 55300044 crore, Pak’s decline continues
