Foreign exchange reserves up by $64.9 billion in FY20, Auto News, ET

On Dec 30, 2020

The country's current account balance (CAB) declined to $24.7 billion in FY20 as against a deficit of $57.3 in FY19. — The country’s current account balance (CAB) declined to $24.7 billion in FY20 as against a deficit of $57.3 in FY19.

Mumbai: The country’s foreign exchange reserves in nominal terms increased by $64.9 billion in FY20 compared to a reduction of $11.7 billion in FY19, according to RBI.

This increase in reserves includes the valuation effects, the Reserve Bank of India said in a release.

“Foreign exchange reserves in nominal terms (including the valuation effects) increased by $64.9 billion during 2019-20 as against a decline of $11.7 billion in the preceding year,€? it said. The valuation gain, reflecting increase in gold prices, amounted to $5.4 billion during 2019-20 as against a loss of $8.3 billion during 2018-19.

On a balance of payments basis (excluding valuation effects), foreign exchange reserves surged by $59.5 billion during FY20 as against a decrease of $3.3 billion during FY19.

The country’s current account balance (CAB) declined to $24.7 billion in FY20 as against a deficit of $57.3 in FY19.

Net FDI inflows at $43 billion in 2019-20 were higher than $30.7 billion in 2018-19, the RBI said.