FPIs made a comeback in May and the positive momentum continued till August as they pumped in a net amount of Rs 91,000 crore during the period under review.
While announcing the monetary policy on Thursday, Reserve Bank of India Governor Shaktikanta Das said the reserves at USD 534.6 billion are equivalent to 13.4 months of imports.
FPIs had started the quarter on a cautious note on account of brewing geopolitical tension between US and Iran and fast-changing trends in US-China trade situation.
The reserves had touched a life-time high of USD 487.23 billion in the week to March 6 after rising by USD 5.69 billion. During 2019-20, the foreign exchange reserves had risen by almost USD 62 billion.
The facility from the RBI is aimed at boosting the island nation’s foreign reserves.
The focus on standards and quality will facilitate exports of quality products from India fetching better unit realisation and enabling Indian manufacturers to meet the technical standards
In the reporting week, the rise in reserves was mainly on account of an increase in foreign currency assets, a major component of the overall reserves, which rose by USD 3.013 billion to USD 427.949 billion, the data released by the Reserve Bank of India on Friday showed.