GS3The Indian Express · Current Affairs
SBI predicts $80-85 billion forex losses for FY26, but net profit forecast (RBI)
State Bank of India (SBI) expects foreign exchange (FX) losses of about USD 80–85 billion for FY26 in its forecast range.
SP
Samachar Pathshala Desk
Published 28 Jul 2026 · 1 min
Key takeaways
- FX risk is the risk that exchange-rate changes can create gains or losses for a bank’s foreign-currency money and contracts.
- FX losses forecasts matter because large adverse exchange-rate moves can feed into a bank’s earnings and risk position during the financial year.
What happened
State Bank of India (SBI) has projected foreign exchange (FX) losses for FY26 in the range of USD 80–85 billion. The figure is presented as an estimate/forecast for an upcoming period, not as a confirmed, realised accounting result.
What the forecast indicates (and what to avoid)
The UPSC angle
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Banking FX exposure as a transmission channel
UPSC can use SBI’s FY26 FX-loss forecast to explain the link between exchange-rate movements and bank profitability risks, while testing the candidate’s ability to keep forecasts distinct from outcomes. This fits GS3 discussions on banking-sector risk and macroeconomic indicators.
