Forex watch: India’s reserves rise $4.36 billion to $693 billion; gold holdings lead weekly gains

India’s foreign exchange reserves rose sharply by $4.368 billion to $693.318 billion in the week ended December 19, data released by the Reserve Bank of India showed on Friday, PTI reported.The latest increase follows a rise of $1.689 billion in the previous week, taking the country’s overall forex buffer to its highest level in recent weeks.Foreign currency assets (FCA), the largest component of the reserves, increased by $1.641 billion to $559.428 billion during the reported week. The RBI noted that FCA figures, expressed in dollar terms, reflect the impact of movements in non-US currencies such as the euro, pound sterling and Japanese yen held in the reserves.Gold reserves registered a stronger gain, rising by $2.623 billion to $110.365 billion, according to the central bank data.Special Drawing Rights (SDRs) with the International Monetary Fund edged up by $8 million to $18.744 billion, while India’s reserve position with the IMF increased by $95 million to $4.782 billion during the week.