Abstract
Abstract: Forex reserves play a pivotal role in stabilizing an economy, shielding it from external shocks, and facilitating international trade. This research paper presents an in-depth analysis of foreign reservesaccumulation in India, focusing on the trends, determinants, and policy implications. Utilizing comprehensive data spanning several decades, the study employs both quantitative and qualitative methods to investigate the dynamics surrounding India’s foreign reserves. The paper first examines the historical trends In India’s foreign reserves, highlighting key milestones, policy shifts, and the factors contributing to their growth. It scrutinizes the relationship between Forex reserves and economic indicators such as balance of payments, exchange rates, and external debt.
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