India requires a foreign exchange reserve buffer of at least $1 trillion to maintain strong intervention capabilities, according to a former central bank official. Bloomberg posted on X, highlighting the importance of a substantial reserve to safeguard the economy against external shocks and ensure financial stability. The former official emphasized that a larger reserve would provide the central bank with greater flexibility to manage currency fluctuations and respond to global economic uncertainties. Currently, India's forex reserves stand significantly below the suggested $1 trillion mark, indicating a need for strategic accumulation to bolster economic resilience. The call for an increased reserve comes amid ongoing global economic challenges and the need for India to strengthen its financial defenses.