(a) whether the foreign exchange reserves have considerably fallen
recently;
(b) if so, the details thereof during each of the last three months
alongwith the reasons therefor; and
(c) the steps being taken by the Government to maintain the foreign exchange reserve of the country?
MINISTER OF STATE IN THE MINISTRY OF FINANCE (SHRI ANANDRAO V. ADSUL)
(a), (b) & (c): Foreign exchange reserves increased from US Dollar 70.4
billion at end December, 2002 to US Dollar 73.6 billion at end
January 2003. However, foreign exchange reserves declined marginally
by US Dollar 0.7 billion to US Dollar 72.9 billion in February 2003
mainly due to prepayment of certain foreign currency loans from the
Asian Development Bank and the World Bank amounting to approximately
US Dollar 3 billion in February, 2003. Subsequently, foreign exchange
reserves increased by US Dollar 2.55 billion to US Dollar 75.4 billion
during March, 2003. The Reserve Bank of India has been closely
monitoring the trends and developments in foreign currency markets,
domestic money market and country`s foreign exchange reserve position,
and appropriate measures are undertaken as and when necessary.