RBI net sells USD 6.184 bn of US currency in June

During the reporting month, the central bank bought USD 4.020 billion of the US dollar, while sold USD 10.204 billion in the spot market, according to the recent RBI data. (Reuters)

Reserve Bank continued to remain net seller of the US currency for the third consecutive month in June, after it sold USD 6.184 billion of the US dollar in the spot market, RBI data showed.

During the reporting month, the central bank bought USD 4.020 billion of the US dollar, while sold USD 10.204 billion in the spot market, according to the recent RBI data.

In May and April, RBI had net sold Rs 5.767 billion and USD 2.483 billion of the US dollar, respectively.

In June 2017, the apex bank was net buyer of the US currency, after it had bought USD 4.971 billion and sold USD 1.680 billion in the spot market.

RBI maintains that its intervention in the foreign exchange market is to curb volatility in the rupee and not to target a level of the domestic currency.

In FY18, the apex had net purchased USD 33.689 billion from the spot market. It had bought USD 52.068 billion from the spot market, while selling USD 18.379 billion.

In FY17, RBI had bought USD 12.351 billion of the US dollar on a net basis.

In the forward dollar market, the outstanding net forward purchase at the end of June was USD 10.689 billion.

The net forward purchase at the end of May was USD 11.252 billion, RBI said.

Source: Financial Express