RBI turns net buyer of dollars in June

Remittances rose 6.5% month-on-month to $2.5 billion in June, nearly 20% higher than a year earlier.

MUMBAI: RBI turned a net purchaser of US dollars in June this year, buying $561 million in the spot and over-the-counter market after net sales of $6.1 billion in May and $3.6 billion in June 2025.According to the central bank’s monthly bulletin, the June purchase was equivalent to about Rs 5,505 crore and marked a shift in its currency market operations even as demand for foreign exchange from residents increased.In June, RBI announced a scheme that allowed commercial banks to offer higher yields on NRI deposits while transferring the underlying currency risk to RBI through a swap. The measure helped increase dollar inflows, allowing the central bank to absorb surplus foreign exchange and rebuild its reserves. In the OTC segment, gross dollar purchases rose to $30.9 billion in June against sales of $30.3 billion.The shift narrowed RBI’s cumulative net sales for the fiscal year to -$14.5 billion and reduced its outstanding forward short position to -$103.3 billion. In the currency futures market, purchases and sales were balanced at $2.9 billion each, leaving zero net outstanding futures. The dollar purchases came as resident Indians increased outward remittances under the Liberalised Remittance Scheme.Remittances rose 6.5% month-on-month to $2.5 billion in June, nearly 20% higher than a year earlier.