Do not worry on rupees’ being weakened: Moody’s
Friday - June 29, 2018 1:38 pm ,
Category : WTN SPECIAL
“India in a position to financing its own domestic level”
JUNE 29 (WTN) - Due to rising crude oil prices and dollar demand in the international market, the rupee had reached the lowest level of 69.10 on Thursday, compared to the dollar. With the rupee weakening, the worry of rising inflation in India is natural. With the dollar being strengthened and weakening of the rupee, the government is also concerned that if the rupee is not handled, the public will be very upset on the inflation front.
But on the contrary, according to Moody's, India is among the five countries which are in the lowest risk position due to the strengthening of the dollar. According to a report by Moody's Investor Service, the pressure on the other currencies is increasing due to the strengthening of the dollar, but India is among the five least vulnerable countries.
Moody’s said in his report on the effect of strengthening the US dollar's compared to other currencies, "The strengthening of the dollar has resulted in a significant decrease in foreign exchange reserves in many emerging markets. However, India, China, Brazil, Mexico and Russia are among those countries which are in the lowest risk of currency pressure."
Moody's said, "With large savings through financial sector, these economies are in a position to financing their own domestic level." For your information, let you know that on Thursday, the rupee started its all-time low level of 69.10 per dollar.
According to information from the media, during the week ending June 15, India's foreign exchange reserves were $ 410.07 billion. Moody's said, India's current account deficit (CAD) has increased due to crude oil prices but not very high compared to the percentage of GDP. This can be done through direct foreign investment.
According to financial affairs experts, the recent rise in crude oil prices has kept the demand for the dollar. It is believed that the rupee has weakened due to the current loss in the current fiscal year 2018-19. But Moody's report is going to comfort the Modi government.
JUNE 29 (WTN) - Due to rising crude oil prices and dollar demand in the international market, the rupee had reached the lowest level of 69.10 on Thursday, compared to the dollar. With the rupee weakening, the worry of rising inflation in India is natural. With the dollar being strengthened and weakening of the rupee, the government is also concerned that if the rupee is not handled, the public will be very upset on the inflation front.
But on the contrary, according to Moody's, India is among the five countries which are in the lowest risk position due to the strengthening of the dollar. According to a report by Moody's Investor Service, the pressure on the other currencies is increasing due to the strengthening of the dollar, but India is among the five least vulnerable countries.
Moody’s said in his report on the effect of strengthening the US dollar's compared to other currencies, "The strengthening of the dollar has resulted in a significant decrease in foreign exchange reserves in many emerging markets. However, India, China, Brazil, Mexico and Russia are among those countries which are in the lowest risk of currency pressure."
Moody's said, "With large savings through financial sector, these economies are in a position to financing their own domestic level." For your information, let you know that on Thursday, the rupee started its all-time low level of 69.10 per dollar.
According to information from the media, during the week ending June 15, India's foreign exchange reserves were $ 410.07 billion. Moody's said, India's current account deficit (CAD) has increased due to crude oil prices but not very high compared to the percentage of GDP. This can be done through direct foreign investment.
According to financial affairs experts, the recent rise in crude oil prices has kept the demand for the dollar. It is believed that the rupee has weakened due to the current loss in the current fiscal year 2018-19. But Moody's report is going to comfort the Modi government.
