The Governor of the Reserve Bank of India said that the country is not selling off its holdings of US Treasury bonds.

Sanjay Malhotra, Governor of the Reserve Bank of India, stated at a press conference after Friday's policy meeting that India's foreign exchange reserves had previously declined, so all positions would change. He said, "These are fluctuations that we disclose externally on a daily or weekly basis, but we have not reduced our holdings of U.S. Treasuries." According to data released by the U.S. government in January, due to the Reserve Bank of India supporting the weakening rupee, as of November, India's holdings of U.S. long-term bonds had dropped to a five-year low of $174 billion, down 26% from the peak in 2023. In October, the Reserve Bank of India pledged to support the domestic currency to curb speculative attacks. Data shows that India's foreign exchange reserves decreased by $10.5 billion that month. The decline continued in November, with reserves further decreasing to $686.2 billion, before rising to a record high of $723.8 billion last week.