Question

Do you know that for a very long time countries used to keep silver and gold as reserves to make payments abroad? Find out in what form do we keep our foreign exchange reserves and find out from newspapers, magazines and the Economic Survey how much foreign exchange reserves India had during the last year. Also find the foreign currency of the following countries and its latest rupee exchange rate.

Country	Currency	Value of 1(one) unit of foreign currency
U.S.A.
U.K.
Japan
China
Korea
Singapore
Germany

Answer 1

India holds its foreign exchange reserves mainly as foreign currency assets, gold, Special Drawing Rights (SDRs), and its reserve position in the IMF. India maintains these reserves to make international payments and support the rupee’s value and stability. India’s foreign exchange reserves during the recent year were around US$688 billion at the end of December 2025.

Foreign currencies and their approximate value in Indian rupees:

Country	Currency	Value of 1(one) unit of foreign currency
U.S.A.	US Dollar	₹ 95.7
U.K.	Pound Sterling	₹ 128.1
Japan	Japanese Yen	₹ 0.59
China	Chinese Yuan	₹ 14.2
Korea	South Korean Won	₹ 0.067
Singapore	Singapore Dollar	₹ 74-75
Germany	Euro	₹ 109-110