A forex

Vietnam central bank is ready to intervene in the foreign exchange market in case of necessity. Vietnam’s foreign exchange reserves now stand at a record high of US$84 billion, enabling the government to ensure macro-economic stability, according to the Governor of the State Bank of Vietnam (SBV) Le Minh Hung. SBV Governor Le Minh Hung at the online conference. Source: SBV. “The SBV and the banking system have sufficient capacity and necessary instrument to stabilize the foreign exchange market and the exchange rate policy,” Hung said at a government online conference on April 10. “Since the beginning of the year, the SBV has not intervened in the forex market, but we are ready to do so in case of necessity,“ Hung continued. In the first quarter, the Vietnamese dong (VND) devaluated by 1.3 – 1.5% against the US dollar amid strong fluctuations of other currencies in the region and all over the world, Hung said, adding the country's forex market operates as … [Read more...] about Vietnam’s record high forex reserves help ensure economic stability: SBV governor

reserves declined by $2.986 billion to reach $579.285 billion in the week ended March 26, RBI data showed on Friday. In the previous week ended March 19, the forex kitty had increased by $233 million to $582.271 billion. It had touched a record high of $590.185 billion in the week ended January 29, 2021. In the reporting week ended March 26, 2021, the fall in reserves was on account of a decrease in foreign currency assets ( FCA ), a major component of the overall reserves. FCA declined by $3.226 billion to $537.953 billion, as per weekly data by the Reserve Bank of India (RBI). Expressed in dollar terms, the foreign currency assets include the effect of appreciation or depreciation of non-US units like the euro, pound and yen held in the foreign exchange reserves. The gold reserves increased by $276 million to $34.907 billion in the reporting week, the RBI data showed. The special drawing rights (SDRs) with the International Monetary Fund ( IMF ) dipped by … [Read more...] about Forex reserves fall by $2.986 bn to $579.285 bn

Reserve bank of India may transfer a lower surplus to the government. The Reserve Bank earned less on the record reserve pile up and also stares at lower interest income as banks parked surplus liquidity with it. A nearly 25 percent jump in forex reserves has led to a fall in returns by nearly a fifth. Returns on reserves deployment were lower at $4.3 billion during April-December'20 compared with $5.2 billion in the same period a year ago, according to the latest data from the RBI . Interest hit The amount of interest it paid to keep the system in surplus liquidity could also hurt its returns as it paid interest for keeping funds with it. Banks are estimated to have parked over Rs 5 lakh crore on an average during FY'21 on which the central bank has to pay them 3.35 per cent interest. While RBI's balance sheet has expanded since June 2020, yields on foreign currency investments have indeed reduced over the past year. For the Accounting Year 2019-20 … [Read more...] about High forex reserves, liquidity steps may hit RBI’s surplus transfer to govt

BEIJING -- China's foreign exchange reserves shrank to $3.17 trillion at the end of March from $3.205 trillion at the end of February, official data showed Wednesday. The amount fell 1.09 percent from the end of February, according to the State Administration of Foreign Exchange. In March, China's forex market functioned stably, with the supply and demand of foreign exchange basically in balance, said SAFE spokesperson Wang Chunying. The scale of China's foreign exchange reserves has remained over $3.1 trillion for 11 consecutive months, said Wen Bin, a chief analyst at China Minsheng Bank, adding that although the scale dropped at the end of March, it is still relatively high compared with readings in recent years, he said. Affected by factors such as the COVID-19 pandemic, the development of COVID-19 vaccines and expectations of major countries' fiscal and monetary policies, the dollar index saw an increase, while the bond prices of major countries fell last month, Wang … [Read more...] about China’s forex reserves fall in March

foreign exchange reserves declined by $2.415 billion to stand at $576.869 billion in the week ended April 2, RBI data showed on Friday. In the previous week ended March 26, the reserves had decreased by $2.986 billion to $579.285 billion. The forex kitty had touched a record high of $590.185 billion in the week ended January 29, 2021. In the reporting week ended April 2, 2021, the decline in the reserves was mainly on account of a fall in foreign currency assets ( FCA ), a major component of the overall reserves. FCA declined by $1.515 billion to $536.438 billion, weekly data by the Reserve Bank of India (RBI) showed. Expressed in dollar terms, the foreign currency assets include the effect of appreciation or depreciation of non-US units like the euro, pound and yen held in the foreign exchange reserves. The gold reserves dropped by $884 million to $34.023 billion in the reporting week, as per the central bank data. The special drawing rights (SDRs) with the … [Read more...] about Forex reserves drop by $2.415 bn to $576.869 bn