India reduces holdings of US Treasury securities — Central Bank

Business & Economy September 01, 2025, 14:52

Despite the reduced share of American bonds, India’s total foreign exchange reserves as of August 22, 2025, remain at $690 bln

NEW DELHI, September 1. /TASS/. India is reducing its holdings of US Treasury securities while increasing the share of gold in its foreign exchange reserves, the Central Bank of India reported.

In June 2025, India’s holdings of US government bonds declined to $227 bln compared with $242 bln a year earlier. The reduction and the growth in gold reserves stem from efforts to diversify foreign exchange assets and mitigate risks associated with reliance on the US currency. Over the same period, the Central Bank of India added 39.22 tonnes of gold to its reserves. As a result, India’s gold holdings at the end of June 2025 stood at 879.98 tonnes, up from 840.76 tonnes a year earlier.

Despite the reduced share of American bonds, India’s total foreign exchange reserves as of August 22, 2025, remain at $690 bln. Almost all of the country’s Treasury securities are included in these reserves, ensuring that New Delhi retains a substantial dollar buffer even as it strengthens its gold position, the Central Bank stated.

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