'Deep market': Why is Rupee left to ‘find its correct level’? Governor Sanjay Malhotra explains stance as currency hovers near 90
Reserve Bank Governor Sanjay Malhotra clarified the central bank does not target specific rupee levels. He stated the market determines the currency's value. The RBI's role is to reduce abnormal volatility. A USD 5 billion swap was a liquidity measure, not to support the rupee. Foreign exchange reserves remain strong. The focus is now on policy rate cut transmission.
Reserve Bank Governor Sanjay Malhotra clarified the central bank does not target specific rupee levels. He stated the market determines the currency's value. The RBI's role is to reduce abnormal volatility. A USD 5 billion swap was a liquidity measure, not to support the rupee. Foreign exchange reserves remain strong. The focus is now on policy rate cut transmission.
