
Behind RBI's race to be the world's leading gold buyer
With 132.34 metric tonnes of gold purchase, RBI emerged as the largest buyer of the yellow metal among central banks between April 2020 and September 2022.
With 132.34 metric tonnes of gold purchase, RBI emerged as the largest buyer of the yellow metal among central banks between April 2020 and September 2022.
Except for sound forex reserve and external debt, other indicators like weak and K-shaped recovery, high fiscal deficits, high trade and current account deficits point to a prolonged crisis.
The fall in its forex reserves to around $533 billion currently, from a peak of about $634 billion in 2021, is driven in part by India's growing current account deficit, says S&P.
India's current forex reserve is equivalent to 13.2 months of import, and higher than the country's external debt.