India’s foreign exchange reserves have eased for an eighth consecutive week from the record high of $704.9 billion registered in the last week of September.

Foreign exchange reserves held by the Reserve Bank of India decreased to $657 billion as of November 22nd, the latest data showed.

The result was largely attributed to an outflow of foreign capital amid heightened tensions in the Middle East and as investors had higher preference for Chinese assets following Beijing’s stimulus measures.

The outflow came also as a result of signs of a slowing economy.

Separate data showed that India’s economy had expanded at an annualized rate of 5.4% in the third quarter, coming in well short of market consensus of 6.5% growth.

It has been the softest growth rate since the fourth quarter of 2022.

Following the data, the USD/INR currency pair settled 0.14% higher at 84.5390, or a fresh record high closing level, on Friday. For the month of November, the exotic currency pair went up 0.59%, while extending the gain from the previous month.