RBI gives relief in rules to increase the flow of foreign exchange, steps will give support to weak rupee
New efforts to increase the flow of foreign exchange
According to the Reserve Bank, the main objective of today’s steps is to expand the source of funding and add new avenues to increase the flow of foreign exchange in the country. to increase the flow of foreign exchange into the country
In view of the record weakness of the rupee and the crisis of recession across the world reserve Bank ,RBI) has started preparation at its level. In order to strengthen the economy, the Reserve Bank has announced several steps today to increase the flow of foreign exchange in the country. With these steps, foreign exchange in the country (forex inflow) will increase and help the economy cope with the uncertainty surrounding the global shocks and signs of slowdown. In the steps taken by the Reserve Bank, foreign investors are allowed to take short-term corporate debt (corporate debt) includes permission to invest and approval to purchase more government securities than before. If the experts are to be believed, today’s move of the Reserve Bank is better for the rupee. In fact, with the increase in foreign inflows, the forex reserves will also be better and this will give more opportunities to the Reserve Bank to intervene in the event of weakness in the rupee.
(Update in news continues)
