# Why is the RBI buying dollars aggressively?- Moneycontrol.com

> Foreign exchange reserves have risen by $50 billion this year as the RBI bought dollars despite net outflows from domestic markets. The central bank has used global dollar weakness to absorb inflows and prevent rupee appreciation.

- Date: 2020-07-12 · published 2020-07-12T12:00:00.000Z
- Category: macro · region India · magnitude low
- Page: https://feedsoft.ai/events/52383-why-is-the-rbi-buying-dollars-aggressively-moneycontrol-com
- Commodities: [Indian Rupee (INR per USD)](https://feedsoft.ai/c/USDINR.md)

## Why it matters

Persistent RBI dollar buying keeps the rupee weaker than it otherwise would be, sustaining higher import costs for Indian buyers of feed ingredients and vegetable oils.

## Read by commodity

- USDINR: bullish ▲

## Sources

- moneycontrol.com: https://www.moneycontrol.com/news/business/markets/why-is-the-rbi-buying-dollars-aggressively-5536011.html

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