RBI's net $ sales highest since 2008 crisis

Selling spree RBI's net purchase/sale of US dollar (spot)

- ANJALI KUMARI

The Reserve Bank of India (RBI) sold $34.5 billion in financial year 2024-25 (FY25) on the net basis, the highest since the global financial crisis of 2008-09, latest data released by the central bank showed. In addition, the RBI has cut down its forward book for the first time in seven months, which fell to $84.34 billion as on March 31, 2025 as compared to $88.75 billion in February.

After a period of relative stability of almost two years, the Indian rupee (INR) experienced a sharp depreciation in the latter half of FY25, primarily due to a surge in the US dollar index to 108, prompting the central bank to intervene in the foreign exchange market to curb undue volatility.

The rise in dollar index was driven by inflationary concerns following US President Donald Trump's assumption of office.