India’s forex reserves jump $9 billion to $697.1 billion; gold surges

India’s forex reserves jump $9 billion to $697.1 billion, gold leads rebound.

India’s foreign exchange reserves rebounded strongly in the week ended April 3, 2026, rising by $9.063 billion to $697.121 billion, according to data released by the Reserve Bank of India.

The recovery follows a sharp drop in the previous week ended March 27, when reserves had declined by $10.288 billion to $688.058 billion.

Rebound after recent pressure

The latest uptick comes amid continued volatility linked to tensions in West Asia, which had earlier weighed on reserves. India’s forex kitty had touched a record high of $728.494 billion in the week ended February 27, 2026, before coming under pressure.

The rupee has remained under strain since the onset of the crisis, prompting the central bank to step in with dollar sales and policy measures to stabilise the currency.

Foreign currency assets rise

Foreign currency assets (FCA), the largest component of the reserves, increased by $1.784 billion to $552.856 billion during the week.

These assets, expressed in dollar terms, are influenced by movements in major global currencies such as the euro, pound and yen held in the reserves.

Gold drives gains

Gold reserves accounted for the bulk of the increase, surging by $7.221 billion to $120.742 billion.

The sharp rise highlights the growing role of gold in strengthening India’s external buffer amid global uncertainty.

SDRs and IMF position

Special Drawing Rights (SDRs) rose by $58 million to $18.707 billion, the RBI said.

Meanwhile, India’s reserve position with the International Monetary Fund remained unchanged at $4.816 billion during the reporting week.