FILE PHOTO: U.S. greenback banknotes are seen on this illustration taken July 17, 2022. REUTERS/Dado Ruvic/Illustration/File Photo
| Photo Credit: Dado Ruvic
Net claims of non-residents on India declined by $12.2 billion during October-December 2023 to $370.Four billion as at end-December 2023, knowledge launched by the Reserve Bank of India (RBI) confirmed.
“The decline in net claims was due to the higher rise in Indian residents’ overseas financial assets ($40.7 billion) as compared to the increase in foreign-owned assets in India ($28.5 billion),” the RBI stated.
Reserve belongings recorded a major rise ($34.eight billion) and accounted for over 85% of improve in overseas belongings of Indian residents during Q3 FY24.
“The rise in India’s foreign liabilities was attributed to higher inward direct investments, portfolio investments and loans taken by resident entities; even as trade credits recorded a marginal decline,” the RBI stated.
Reserve belongings accounted for 63.9% of India’s worldwide monetary belongings. The share of debt liabilities in complete exterior liabilities remained at its degree 1 / 4 in the past (50.4%). The ratio of India’s worldwide monetary belongings to worldwide monetary liabilities improved to 72.4% in December 2023 from 70.9% 1 / 4 in the past, as per RBI knowledge.
