India's foreign exchange reserves have dropped to an eight-month low of $640.28 billion as of December 27, 2024, marking a $4.1 billion decline in the past week. The Reserve Bank of India has been intervening to stabilize the rupee, which hit a record low of 85.8075 against the U.S. dollar. Contributing factors include economic slowdown, a widening trade deficit, and a strong U.S. dollar.

India's foreign exchange reserves have dropped to an eight-month low of $640.28 billion as of December 27, 2024, marking a $4.1 billion decline in the past week. The Reserve Bank of India has been intervening to stabilize the rupee, which hit a record low of 85.8075 against the U.S. dollar. Contributing factors include economic slowdown, a widening trade deficit, and a strong U.S. dollar.