Further decline in forex assets

CHENNAI, MAY 7. Foreign currency assets have declined again by $ 247 million during the week ended April 28, 2000 to $37,975 million. This is on top of a drop of $119 million in the earlier week. However, gold holdings and SDRs (special drawing rights) remained unchanged at $2.97 billion and $8 million respectively.

Total reserves stood at $37.98 billion on April 28. From end- December 1999, FCAs were up by $3.01 billion, gold holdings $35 million and SDRs by $4 million. On a year-to-year basis, the growth in FCAs was $5.38 billion and in gold holdings $55 million.

On the basis of the latest weekly statistical supplement of the Reserve Bank of India, borrowings of the Central Government from the RBI have declined by Rs. 3,578 crores in the week ended April 28 to Rs. 8,579 crores while those of State governments were lower by Rs. 3,608 crores at Rs. 1,821 crores.

Reserve money has declined by Rs. 4,790 crores in the week ended April 28 with the outstanding amount at Rs. 2,72,339 crores. The net RBI credit to Government was lower by Rs. 8,239 crores during the week under reference to Rs. 1,47,306 crores.

The increase in the current financial year so far is Rs. 3,179 crores (2.2 per cent) against Rs. 4,187 crores (2.7 per cent).

Deposits of scheduled commercial banks dropped by Rs. 3,435 crores in the fortnight ended April 21 to Rs. 8,35,211 crores.