euro: Indian rupee has gained against euro, yen; slipped against dollar: MoS Finance

The Indian rupee has strengthened in opposition to main currencies such because the Euro, British pound and Japanese yen although it has weakened in opposition to the US greenback, Minister of State for Finance Pankaj Chaudhary mentioned on Tuesday. “International components such because the Russia-Ukraine battle, hovering crude oil costs and tightening of worldwide monetary circumstances are the most important causes for the weakening of the Indian Rupee in opposition to the US Greenback.

“Currencies such because the British pound, the Japanese yen and the Euro have weakened greater than the Indian rupee in opposition to the US greenback and due to this fact, the Indian rupee has strengthened in opposition to these currencies in 2022,” he mentioned in a written reply within the Rajya Sabha.

The Reserve Financial institution of India (RBI) recurrently screens the overseas trade market and intervenes in conditions of extra volatility, he added.

The RBI has raised rates of interest in latest months, thus growing the attractiveness of holding Indian rupees for residents and non-residents.

Earlier this month, the RBI additionally raised the abroad borrowing limits for corporations and liberalised norms for overseas investments in authorities bonds because it introduced a slew of measures to spice up overseas trade inflows.

The RBI elevated the Exterior Business Borrowing (ECB) restrict below the automated route from USD 750 million or its equal per monetary yr to USD 1.5 billion, and eased norms for overseas portfolio investments within the debt market.

He additional mentioned the nominal trade price is just one of many components that influence an economic system.

The depreciation of a foreign money is prone to improve the export competitiveness, which in flip impacts the economic system positively, he mentioned, including the depreciation additionally impacts the imports by making them extra expensive.

The Division of Commerce recurrently screens and sensitises line ministries, departments and different stakeholders every now and then on issues comparable to addressing home provide rigidities and home manufacturing alternatives/enhancement of capability and well timed use of commerce remedial choices.

In reply to a different query, the minister mentioned the worth of notes in circulation as on November 4, 2016 was Rs 17,74,187 crore.

The worth of notes in circulation elevated to Rs 31,73,681 crore as on July 1, 2022.

As per the RBI, he mentioned, the whole variety of counterfeit foreign money notes in circulation/detected within the banking system for the 2021-22 stands at 2,30,971 items. Greater than 90 per cent of the counterfeit notes had been of low high quality and not one of the main safety features had been compromised.