The Reserve Bank of India (RBI) net sold $95 million in the spot forex market in October, compared with $10 million in the previous month, data from the central bank showed.
In October, the central bank sold $1.150 billion and bought $1.055 billion, the data showed on Monday.
The RBI has been selling dollars consistently since September 2011 to prevent a sharp fall in the rupee.
The Indian rupee closed at 54.49/50 to a dollar on Monday, marginally weaker than its previous close of 54.47/48, on continued dollar demand from oil importers, but the losses were capped by expectations of inflows from a spate of share sales.
In the forward dollar market, outstanding dollar sales rose marginally to $14.08 billion in October, compared with $14.05 billion in the previous month, the RBI data showed.