Economic affairs secretary Ajay Seth said India has fairly large forex reserves to tide itself over the current situation and dismissed the concerns over the depletion of forex reserves as “overblown”.

“There has been a depletion as inflows have come down and the trade deficit is higher... I don’t see this as a concern, India has fairly large reserves to tide over this situation,” Seth said.

Foreign exchange reserves were down for a seventh continuous week, dropping to$545.65 billion on September16. The reserves have been dipping as the central bank deploys the forex kitty to defend the currency