Forex reserves hit record $740.8 billion, lift rupee

By the end of August, India recorded an unprecedented $740.8 billion in foreign-exchange reserves, which has significantly fortified the value of the Indian rupee against the dollar. This development enhances public sector banks' lending potential through enhanced liquidity coverage. Despite this, state-run banks are lagging behind private ones in deposit growth, facing pressures that necessitate higher borrowings as loans continue to exceed deposits.