RBI Governor Rajan on Wednesday said significant progress made in curbing current account deficit.
The rupee's slide was predictable in direction, if not in timing. It has been obvious for months that India was vulnerable to depreciation. A combination of European weakness and bearish FII attitudes were the triggers.
Concerned over the washout of Parliament this week, Finance Minister Pranab Mukherjee on Saturday said Parliament is not meant for "disruptions" and also appealed to his "political colleagues" to keep aside politics from major economic decisions.
RBI is expecting the rupee to stay close to Rs 75 to a dollar, as COVID-19 forces foreign funds to withdraw from emerging markets.
India's forex reserves increased by $5.08 billion to $595.4 billion during the week ended November 17, the Reserve Bank said on Friday. In the previous reporting week, the kitty declined $462 million to $590.32 billion. For the week ended November 17, the foreign currency assets, a major component of the reserves, increased $4.39 billion to $526.39 billion, according to the Weekly Statistical Supplement released by the Reserve Bank of India (RBI).
SBI managing director PK Gupta told reporters that the rupee has been faring better than many of its peers, including the Turkish, Argentinean, and Indonesian currencies.
NRIs can lock into NRE/NRO fixed deposits, buy real estate and invest in long-term equity investments.
Veerappa Moily's allegation that an import lobby was against an increase in gas prices has found no takers among sectoral experts.
India's forex kitty decreased by $462 million to $590.32 billion for the week ended November 10, the Reserve Bank said on Friday. In the previous reporting week, the overall reserves had increased by $4.67 billion to $590.78 billion. In October 2021, the country's forex kitty had reached an all-time high of $645 billio
In the medium term what will truly matter for the rupee's fortunes are India's growth and inflation fundamentals.
'There can be no dispute over the adverse impact such a policy will surely have on India's manufacturing competitiveness,' notes A K Bhattacharya.
Among the Sensex firms, Kotak Mahindra Bank, Tata Steel, ITC, ICICI Bank, Bajaj Finserv, Maruti, Mahindra & Mahindra and State Bank of India were the biggest winners. Tata Consultancy Services, Infosys, HCL Technologies, Tech Mahindra, Asian Paints, Wipro and Tata Motors were the biggest laggards.
Outbound travel falls 10 per #162 reasons vary from economic downturn, rupee and a rise in air fare.
Ford India will increase the price of its entry-level sedan Ikon by up to 1.5 per cent from April as it looks to offset rising component import bills due to rupee depreciation.
The domestic car market, which sees sales of almost one diesel car for every petrol car sold, will see demand for diesel-powered cars to hit the roof.
With rupee depreciation leading to jump in oil import bill, Petroleum Minister S Jaipal Reddy on Tuesday said there is an immediate need to raise fuel prices, but refused to say when the hike will actually take place.
There are some advantages of a falling rupee.
The dollar was weak against major world currencies.
Remittance into India from foreign countries has already seen a jump of 25% in the last two months
Foreign investors pumped in Rs 11,119 crore in the Indian equities in December, making it the second consecutive monthly inflow, despite increasing concerns over the re-emergence of Covid-19 cases in some parts of the world. However, foreign portfolio investors (FPIs) have turned cautious in recent days. The inflow in December was much lower compared to Rs 36,239 crore invested by FPIs in the month of November, data with the depositories showed.
CRR cut does not rule out open market operations.
One of the reasons is the increasing number of upgrades in analysts' recommendations.
India's forex reserves declined by $2.36 billion to $583.53 billion during the week ended October 20, according to the Reserve Bank of India data. In the previous reporting week, the overall reserves had increased by $1.15 billion to $585.89 billion. In October 2021, the country's forex kitty reached an all-time high of $645 billion.
Air India had last year faced about two-month-long strike by its pilots.
The price rise measured in terms of Wholesale Price Index rose for the second straight month, to 5.79 per cent in July, on account of double digit rise in prices of food articles, mainly vegetables, including onion.
General Motors India on Friday said it will hike the prices of its entire range of models by up to Rs 20,000 with effect from October 8 as it looks to minimise the impact of adverse currency movement and high input costs.
Textile exports are expected to reach $50 billion by 2014-15 on the back of new markets.
All the indicators point to a further steady weakening of the Rupee.
Most developers Business Standard spoke to claimed a 25 to 30 per cent spurt in sales to NRIs over the last two months.
With economic activity still to reach pre-pandemic levels, the RBI may slow down the pace of rate hikes until next year to quell soaring inflation while supporting growth, the Asian Development Bank (ADB) says in its latest report. The Manila-based multilateral funding agency has raised the inflation forecast for the current fiscal year ending in March 2023 to 6.7 per cent from its earlier projection of 5.8 per cent. For the next fiscal year too, the forecast has been revised upwards to 5.8 per cent from 5 per cent earlier.
Travel from India increased significantly after resumption of direct flights in March, Turkiye Tourism Board said, with destination weddings contributing to arrivals
Indian exporters are not opening the bubbly yet despite a rapid depreciation of the rupee, which fell to a 17-month low of Rs 44.17 against the US dollar on Tuesday before rising to close at Rs 43.85.
Rather than complaining about the rise in petrol prices, Aditya Prasad suggests some really simple steps to deal with it.
India's foreign exchange reserves declined $867 million to $593.04 billion in the week ended September 15, the Reserve Bank said on Friday. In the previous reporting week, the overall reserves dropped $4.99 billion to $593.90 billion. In October 2021, the country's reserves had touched an all-time high of $645 billion.
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The agency's lead analyst Art Woo added that fiscal management is a challenging task.
Two major consumer durables and home appliances makers Sony and Samsung have ruled out any immediate hike in prices of products even as a steep fall in rupee against dollar has squeezed margins.
The biggest risk to India's growth outlook is an escalation of geopolitical tensions, especially if these tensions spread to the Asian region, RBI Monetary Policy Committee (MPC) member Jayanth R Varma said on Wednesday. Varma, in an interview to PTI, said that inflation and inflationary expectations appear to be moderating and high inflation will certainly not become the 'norm' in the country. He is cautiously optimistic about the Indian economy as after the pandemic abated, consumption demand has begun to recover though the recovery is uneven across sectors and industries.
The rupee has depreciated 2.35 per cent in the past three months and one per cent in the past month, despite strong capital flows and falling oil prices.
Following the increase, petrol in Delhi will cost Rs 68.64 a litre.
After multiple weeks of decline, India's forex reserves increased by $1.15 billion to $585.89 billion during the week ended October 13, according to the RBI data. In the previous reporting week, the overall reserves had dropped by $2.17 billion to $584.74 billion. In October 2021, the country's forex kitty reached an all-time high of $645 billion.
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