RBI has used about half of the $140 billion it raised through special measures this year.
Economists estimate $75 billion to $80 billion has gone into spot dollar sales and swaps since June 8.
Reserves fell to $734.6 billion as of October 2, and the RBI has added fresh curbs on dollar demand.
The Reserve Bank of India (RBI) has spent roughly half of the more than $140 billion it raised through extraordinary steps earlier this year as it works to keep the rupee from sliding, Reuters reported.
Economists and currency traders at six banks told the news agency that the money has gone into two kinds of operations. The central bank has sold dollars directly in the spot market, and it has also run dollar-rupee sell/buy swaps to soak up excess rupee liquidity in the banking system.
1 October 2026
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Three economists estimated that the RBI has put in around $75 billion to $80 billion through these routes since June 8, the date the measures to draw foreign-currency inflows took effect. They arrived at the figure by adjusting the weekly reserve data the RBI publishes every Friday to strip out revaluation effects. Traders at banks that handle spot and swap deals gave Reuters similar numbers, based on talks with other bankers and brokers and their own models built on market parameters.
Rupee Under Strain
Costlier oil, a recent spike in US Treasury yields and continued selling by foreign equity investors have kept the rupee weak. The RBI has stepped up its intervention to contain the risk of the currency’s fall feeding into inflation and unsettling the financial system.
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India’s foreign-exchange reserves stood at $734.6 billion as of October 2, about $51 billion below their peak in the first week of September. At the end of September, the RBI’s net forward dollar liabilities were around $200 billion, while its gold holdings were valued at $106.4 billion as of October 2.
Notablt last week, the RBI rolled out steps to hold down dollar demand directly. Oil companies can now buy dollars from the central bank through a dedicated window, which pulls their purchases away from the open market. The RBI also imposed cash margin requirements on certain forward dollar purchases. That raises the cost for importers hedging their currency risk, and the higher expense is meant to put them off buying dollars.
