RBI turns net seller in Fx market in August

According to the latest data, the RBI turned net sellers of foreign currency at US$1,559 million compared with net buying of US$169 million in July.

For the first time in a year, the Reserve Bank of India (RBI) turned net sellers of foreign currency in August to help arrest the slide in the rupee against leading world currencies.

According to the latest data, the RBI turned net sellers of foreign currency at US$1,559 million compared with net buying of US$169 million in July.

The central bank bought US$4.486 billion from the market while it sold US$6.045 billion in the reporting month, RBI said in its monthly bulletin.

The last time the RBI had turned net seller was in August 2014 at US$511 million.

The rupee lost 3.65 per cent in August to end at 66.48 against the US dollar.

In the forwards dollar market, the outstanding net forward purchase at the end of August stood at US$2.901 billion as against the purchase of US$4.599 billion as of end July