Forex reserves at 151.62 bn

The foreign exchange reserves jumped nearly 3 billion in the last week of March, leapfrogging 150 billion for the first time as the central bank absorbed foreign investment flows into the booming stock market.

Data from the central bank released on Friday showed India8217;s foreign exchange reserves rose to 151.622 billion from 148.662 billion in the prior week-ended March 24, enough to cover nearly 14 months of imports.

8220;It8217;s clear that the central bank had been very active in intervention during the last quarter of the financial year. In our estimate, it intervened to the extent of 9 billion, quite possibly to alleviate tight liquidity conditions of the government borrowing plan,8221; Sanjeet Singh, head of research at ICICI Securities, said.

India is the fifth largest holder of foreign exchange reserves in Asia. 8212; Reuters