India’s forex reserves cover 96% of External Debt, fund 11% of Import Goods: RBI Governor

At the RBI’s 55th Monetary Policy Committee (MPC) meeting, Governor Sanjay Malhotra stated that India’s external sector remains resilient despite a wider trade deficit in April, supported by strong services inflows and robust forex reserves. He also noted a 14% rise in Gross FDI in FY25, driven by liberalised FDI policies and sustained investor confidence.

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