"I have no doubt that when interest rates start picking up in industrial countries, we will be tested. We will be tested by capital outflows," Rajan said on the sidelines of a lecture.
"My hope is that we have done enough in terms of strengthening the macroeconomic fundamentals...I hope we have buffered the economy against that." India`s foreign exchange reserves of $320.56 billion in the week to Aug. 1 are close to surpassing a record high of $320.785 billion in September 2011.