Story perspectives

RBI boosts foreign reserves to record $740.8 billion

9/8/2026

Summary

Story summary

India’s Reserve Bank (RBI) raised total foreign exchange reserves to a record US$740.80 billion by the week ended August 28, 2026.
Foreign Currency Assets grew by US$9.337 billion to US$600.67 billion.
Gold reserves rose by US$2.191 billion, reaching US$116.409 billion.
The FCNR(B) swap facility attracted US$136 billion in foreign-currency inflows through August 2026.
The reserve surge rebuilt the buffer after the buffer fell to around US$681.4 billion in May 2026.

History

Historical Context

1991’s balance-of-payments crisis, driven by the Gulf War oil shock and falling remittances, left India’s reserves covering only two weeks of imports. Finance Minister Manmohan Singh, Prime Minister P. V. Narasimha Rao and the RBI secured a $2.2 billion IMF standby and lifted reserves from $5.8 bn to $10 bn. In August 2026 the RBI’s FCNR(B) swap drew $136 bn, raising total reserves to a record $740.80 bn and bolstering confidence.

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Story summary

India’s Reserve Bank (RBI) raised total foreign exchange reserves to a record US$740.80 billion by the week ended August 28, 2026.
Foreign Currency Assets grew by US$9.337 billion to US$600.67 billion.
Gold reserves rose by US$2.191 billion, reaching US$116.409 billion.
The FCNR(B) swap facility attracted US$136 billion in foreign-currency inflows through August 2026.
The reserve surge rebuilt the buffer after the buffer fell to around US$681.4 billion in May 2026.

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