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Question

The foreign exchange reserves of the country consist of ________________.

A
foreign currency assets held by the RBI
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B
gold holding of the RBI
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C
special Drawings Rights
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D
all of the above
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Solution

The correct option is D all of the above
Foreign Exchange Reserves of India: Foreign Exchange Reserves are an important component of the BoP (Balance of Payment) and an essential element in the analysis of an economy's external position. The foreign exchange reserves of the country include three important components:
(i) Foreign Exchange Assets of RBI
(ii) Gold Stock of RBI
(iii) SDR holdings of the government.

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