# India cenbank's 2013 playbook to rebuild FX reserves unlikely to work-analysts

> Analysts say the Reserve Bank of India's 2013 approach to rebuilding foreign exchange reserves is unlikely to work this time. India's reserves have fallen about $110 billion from a September 2021 peak of $642 billion, largely due to currency valuation losses. Analysts also cite the central bank's own dollar sales as a significant factor.

- Date: 2022-10-18 · published 2022-10-18T12:00:00.000Z
- Category: macro · region India · magnitude low
- Page: https://feedsoft.ai/events/39421-india-cenbank-s-2013-playbook-to-rebuild-fx-reserves-unlikely-to-work-analysts
- Commodities: [Indian Rupee (INR per USD)](https://feedsoft.ai/c/USDINR.md)

## Why it matters

Lower reserves constrain the RBI's ability to defend the rupee, which keeps the currency under pressure and raises India's dollar import costs. Weak rebuilding prospects suggest persistent currency risk.

## Read by commodity

- USDINR: bullish ▲

## Sources

- reuters.com: https://www.reuters.com/markets/asia/india-cenbanks-2013-playbook-rebuild-fx-reserves-unlikely-work-analysts-2022-10-18/

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Data from Feedsoft AI (https://feedsoft.ai/). For information only; not investment advice.