India Deploys Up to $80 Billion to Defend Rupee as Reserves Face Pressure

India has deployed an estimated $75 billion to $80 billion defending the rupee since special foreign-currency inflow measures began June 8. Foreign-exchange reserves fell to $734.6 billion as of October 2, approximately $51 billion below their early-September peak. Net forward dollar liabilities totaled approximately $200 billion at September-end, limiting usable reserves; gold holdings reached $106.4 billion on October 2. The RBI introduced direct dollar access for oil companies and cash-margin requirements on certain forward dollar purchases to curb open-market demand. Repeated interventions near 97 rupees per dollar suggest an implicit tolerance threshold, while Ambit warned continued reserve depletion could fuel depreciation speculation. Disclaimer: This news brief was created by Public Technologies (PUBT) using generative artificial intelligence. While PUBT strives to provide accurate and timely information, this AI-generated content is for informational purposes only and should not be interpreted as financial, investment, or legal advice. Tekedia Capital LLC published the original content used to generate this news brief on October 16, 2026, and is solely responsible for the