RBI march forex activity: a significant increase in net purchases

In February, RBI had bought a net of $8.557bn on the spot.

The Reserve Bank of India (RBI) made substantial net purchases in the spot foreign exchange market in March, totaling $13.249 billion, according to the central bank’s monthly Bulletin. 

This marks a notable increase from February, when the net purchase was $8.557 billion.

Breakdown of Transactions

In March, the RBI purchased $14.841 billion and sold $1.592 billion, resulting in the net purchase figure. This significant activity indicates the central bank’s strategic interventions in the forex market during this period.

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Comparison with Previous Month

The March net purchase of $13.249 billion is a sharp rise compared to February’s net of $8.557 billion. This increase highlights the RBI’s proactive measures in managing the country’s foreign exchange reserves and stabilizing the currency.

About the RBI Bulletin

The Bulletin, a monthly publication, provides comprehensive insights into the developments in both domestic and global economies. It serves as an informative resource but does not necessarily reflect the central bank’s official stance on these matters.

About the RBI Bulletin

Published monthly, the RBI Bulletin offers comprehensive insights into the domestic and global economic landscape. While serving as a valuable informational resource, it is important to note that the views expressed within the bulletin do not necessarily reflect the official stance of the central bank on these matters. The bulletin provides stakeholders with detailed analysis, data, and commentary on various economic indicators, policy initiatives, and emerging trends, facilitating informed decision-making by policymakers, investors, and other stakeholders in the financial markets.