MUMBAI: India’s foreign exchange reserves rose for a second straight week and stood at $596.28 billion as of July 7, the highest in nearly two months, the Reserve Bank of India’s (RBI) data showed on Friday.

Reserves in the week ended July 7 rose by $1.23 billion from the week earlier. They also rose by $1.85 billion in the week to June 30.

The central bank intervenes in the spot and forwards markets to prevent runaway moves in the rupee.

The changes in foreign currency assets, expressed in dollar terms, include the effects of appreciation or depreciation of other currencies held in the RBI’s reserves.

India’s forex reserves drop to one-month low of $593.2bn in week to June 23

Foreign exchange reserves include India’s Reserve Tranche position in the International Monetary Fund.

In the week for which the forex reserves data pertains, the rupee had logged its worst week in seven. It had dropped to a more-than-one-month low of 82.74 during the week.

The rupee logged a weekly rise of 0.5% to the dollar and ended at 82.1650 on Friday, on bets that the U.S. Federal Reserve may pause interest rate hikes beyond July.

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