India's forex reserves dropped by USD 1.88 billion to USD 623.983 billion in the week ended January 17, the RBI said on Friday.

Earlier, the overall kitty declined by USD 8.714 billion to USD 625.871 billion in the week ended January 10, the Reserve Bank of India said.

The reserves have been on a declining trend for the last few weeks, and the drop has been attributed to revaluation along with forex market interventions by RBI to help reduce volatilities in the rupee.

The forex reserves had increased to an all-time high of USD 704.885 billion in end-September.

For the week ended January 17, foreign currency assets, a major component of the reserves, decreased by USD 2.878 billion to USD 533.133 billion, the data released on Friday showed.

Expressed in dollar terms, the foreign currency assets include the effect of appreciation or depreciation of non-US units like the euro, pound and yen held in the foreign exchange reserves.

Gold reserves increased by USD 1.063 million to USD 68.947 billion during the week, the RBI said.

The Special Drawing Rights (SDRs) were up by USD 01 million to USD 17.782 billion, the apex bank said.

India's reserve position with the IMF was down by USD 74 million at USD 4.122 billion in the reporting week, the data showed.

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