Optimize IAS
  • Home
  • About Us
  • Free Initiatives
    • Daily Practice Sheets
    • Daily Prelims Notes
    • Prelims Power Play
    • Mains Factly
    • Sunday Essay Sadhna
  • Courses
    • Mains Master Notes
    • Prelims Test Series
      • Laqshya 2024
    • Integrated Guidance 2024
      • ARJUNA PRIME 2024
    • Daily Answer Writing
  • Downloads
    • Important Topics List for Prelims 2023
    • Daily Prelims Notes Compilation
    • Daily Practice Sheet Compilation
    • PPP Compilation
    • PSIR Notes
    • General Studies Notes
    • UPSC Mains Previous Year Papers
  • Portal Login
  • Home
  • About Us
  • Free Initiatives
    • Daily Practice Sheets
    • Daily Prelims Notes
    • Prelims Power Play
    • Mains Factly
    • Sunday Essay Sadhna
  • Courses
    • Mains Master Notes
    • Prelims Test Series
      • Laqshya 2024
    • Integrated Guidance 2024
      • ARJUNA PRIME 2024
    • Daily Answer Writing
  • Downloads
    • Important Topics List for Prelims 2023
    • Daily Prelims Notes Compilation
    • Daily Practice Sheet Compilation
    • PPP Compilation
    • PSIR Notes
    • General Studies Notes
    • UPSC Mains Previous Year Papers
  • Portal Login

RBI net seller of US dollar

  • May 27, 2023
  • Posted by: OptimizeIAS Team
  • Category: DPN Topics
No Comments
Print Friendly, PDF & Email

 

 

RBI net seller of US dollar

Subject :Economy

Section: External Sector

Context:

In FY 2023, the Reserve Bank of India(RBI) became a net seller of the US  dollar after remaining a net purchaser for three consecutive years. It sold $ 25.52 billion on a net basis in the spot foreign exchange market.

Why did the  RBI became net seller of dollars

The RBI’s decision to sell the greenback was to prop up the rupee, which depreciated by almost Rs 6,or 8 percent, to 82 level against the dollar as on March 31,2023,from 76 as on April 1,2022.During the previous fiscal, higher import bills due to surge in oil prices after Ukraine war leading to surging US dollar demand to buy crude oil, global inflation leading to raising of interest rates by US federal reserve ,leading investors to invest in US economy further draining foreign exchange reserve towards US economy. More than 37000 crores of foreign portfolio investments have been pulled out in equity markets and 9000 crores in debt market.

Income of RBI by selling US dollars

RBI generated huge profits from sale of US dollars, so much so that it transferred 87,000 crores this fiscal to the central government, a 188% jump from 30,500 crores in fiscal year 2021-22.

economy RBI net seller of US dollar
Print Friendly, PDF & Email

Recent Posts

  • Daily Practice Sheet 2 October 2023 October 2, 2023
  • What is driving India’s students to suicide? How can it be prevented? October 2, 2023
  • Discuss the relevance of Gandhian Ethics. October 2, 2023
  • What is evergreen of patent? Is it allowed in Indian patent law? Discuss in context of recent issue of Bedaquiline October 2, 2023
  • Green Revolution hurtled India into an environmental crisis. Discuss October 2, 2023
  • The recent data from the Reserve Bank of India show that the net financial savings rate of households has slumped. Discuss implications October 2, 2023
  • Discuss the need to move away from women’s development to women led development. October 2, 2023
  • In what way did Mahatma Gandhi transform the nature of Indian freedom struggle? Discuss October 2, 2023
  • Discuss the contribution of Mahatma Gandhi to India’s freedom struggle movement focusing upon his novel strategies and values October 2, 2023
  • Oil firms raise ATF and commercial LPG prices October 2, 2023

About

If IAS is your destination, begin your journey with Optimize IAS.

Hi There, I am Santosh I have the unique distinction of clearing all 6 UPSC CSE Prelims with huge margins.

I mastered the art of clearing UPSC CSE Prelims and in the process devised an unbeatable strategy to ace Prelims which many students struggle to do.

Free Initiatives

  • Daily Practice Sheets
  • Daily Prelims Notes
  • Mains Factly
  • Prelims Power Play
  • Sunday Essay Sadhna

My Proven Strategy

  • Interview Strategy
  • Mains Strategy
  • Motivational
  • Prelims Strategy

Contact us

moc.saiezimitpo@tcatnoc

For More Details

Work with Us

Connect With Me

Santosh Pandey Quora Santosh Sir Telegram Santosh Sir Youtube Optimize IAS Instagram

Course Portal
Search