India's forex reserves fall to $262.9bn

Mumbai: India’s forex reserves, which were once seen as a solution to bridging the gap in infrastructure funding has taken asever beating in recent weeks. According to figures released by Reserve Bank of India, the country’s foreign exchange reserves have fallen below the $300 billion mark to $296 billion. Of this foreign currency assets fell $1.76 billion to 262.9 billion partly on account of dollar sales by RBI and partly on weakening of non-dollar currencies. RBI had strongly argued against using forex reserves for funding infrastructure on the grounds that the reserves represented liabilities towards foreign investors.
(TOI, 7 January, 2012)