Net overseas claims on India up $14.8 billion in Q1 FY20: RBI
03 Oct 2019
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Net claims of non-residents on India increased by $14.8 billion during April-June 2019, as per latest data on India’s International Investment Position (IIP) released by the Reserve Bank of India (RBI).
The decline in overseas assets of Indians comes on the back of an increase in the value of the Indian rupee against the Greenback.
Foreign owned assets in India increased by $35 billion, mainly on account of an increase in foreign direct investment ($18.1 billion), portfolio investment ($6.8 billion) and loans ($5.9 billion).
Foreign assets of Indian residents, on the other hand, rose $20.2 billion during the quarter, primarily on account of increase in reserve assets.
Appreciation of the Indian rupee against the US dollar during the quarter contributed to the increase in India’s liabilities when valued in US dollar terms. But for this valuation effect, India’s liabilities would have amounted to $1,110.4 billion as against $1,113.9 billion inclusive of valuation.
Reserve assets accounted for 64.9 per cent of total overseas assets of Indians.
The share of debt liabilities in total liabilities declined marginally to 50.6 per cent from 50.9 per cent at the end of March 2019.
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