Sources of Variation in Foreign Exchange Reserves in India during 2013-14

Table 1: Sources of Variation to Foreign Exchange Reserves*

(US$ billion)

Items

2012-13

2013-14

I.

Current Account Balance

-88.2

-32.4

II.

Capital Account (net) (a to f)

92.0

47.9

a.

Foreign Investment

46.7

26.4

of which: Foreign Direct Investment

19.8

21.6

Portfolio Investment

26.9

4.8

FII

27.6

5.0

ADR/GDR

0.2

0.02

b.

Banking Capital

16.6

25.4

Of which: NRI Deposits

14.8

38.9

c.

Short term credit

21.7

-5.0

d.

External Assistance

1.0

1.0

e.

External Commercial Borrowings

8.5

11.8

f.

Other items in capital account

-2.5

-11.7

III.

Valuation change

-6.2

-3.3

Total (I+II+III) @
Increase in reserves (+) / Decrease in reserves (-)

-2.4

12.2

*: Based on old format of BoP
@: Difference, if any, is due to rounding off.
Note: ‘Other items in capital account’ includes apart from ‘Errors and Omissions’ SDR transactions, leads and lags in exports, funds held abroad, advances received pending issue of shares under FDI and transactions of capital receipts not included elsewhere.

Table 2: Comparative Position of Variation in Reserves

(US$ billion)

Items

2012-13

2013-14

1

Change in Foreign Exchange Reserves
(Including Valuation Effects)

-2.4

12.2

2

Valuation Effects
(Gain (+)/Loss (-))

-6.2

-3.3

3

Change in Foreign Exchange Reserves on BoP basis
(i.e., Excluding Valuation Effects)

3.8

15.5

Note: Increase in reserves (+)/Decrease in reserves (-).
Difference, if any, is due to rounding off.