Forex reserves rise by $5.8 bn to lifetime high of $551.5 bn

The country's foreign exchange reserves surged by $5.867 billion to touch a record high of $551.505 billion in the week to October 9, according to the RBI data. In the previous week ended October 2,

2020, the reserves had increased by

$3.618 billion to $545.638 billion.

During the reporting week, the increase in forex kitty was on account of rise in foreign currency assets (FCA), a major component of the overall reserves. FCA rose by

$5.737 billion to $508.783 billion.

Expressed in dollar terms, the foreign currency assets include the effect of appreciation or depreciation of non-us units like the euro, pound and yen held in the foreign exchange reserves.