New Delhi, Continuous decline in rupee remains a matter of concern. At the end of this week, Prime Minister can call for an economic review meeting, so that steps can be taken to handle the rupee. According to the information, the government can also announce the increase in oil prices.
The current account deficit and the trade war in China-US have been falling steadily. In the current financial year, the current deficit has increased to 2.4 percent of GDP, which is approximately $ 16 billion. Moody’s report says that in FY19 India’s CAD will be 2.5 against GDP.
With the opening of the market in the morning, the rupee record reached at 72.90 Later, when news came that the government wanted to intervene, the value of the rupee was slightly improved. This year, the rupee has fallen 12 percent and it is the worst performing currency in Asia.
Earlier, some reports said that the government, together with the RBI, could declare the deposit scheme for NRI, thereby accelerating foreign exchange of currency and keeping the rupee well. Since Aug 1, the rupee weaknesses are 56 and 50 percent responsible for the increase in prices of petrol and diesel respectively. In case of dollar, the Indian basket has become 3% expensive. In the last 40 days, the price of oil import has increased three times.
Meanwhile, the Finance Ministry said that the government and the Reserve Bank of India will make every effort to ensure that there is no untimely fall in rupee. Economic Affairs Secretary Subhash Chandra Garg said in a tweet, “The government and the RBI will take every possible step to ensure that the rupee does not fall further.”