rupee
By gasmas100
@gasmas100 (585)
India
April 25, 2007 1:07pm CST
do u think that the Indian rupee is actually over valued by 12.12% as declared by the RBI Governor Mr.Reddy.
also, do u feel it is worthy to revalue or devalue it?
1 response
@nilzerous1 (2434)
• India
25 Apr 07
This is really extremely difficult question to answer. If it is devaluated,it is definitely going to boost the export oriented business, on the other hand, imports of essential commonidties - crude oils will cost more.
So before taking a final decision in this regard, RBI must consider all relevant factors.
@gasmas100 (585)
• India
25 Apr 07
thanx for ur response mate.
I guess they are planning to devalue it as a weaker rupee would exports as we are looking at exports big-time, also off-shoring which has picked up in recent times would get a boost keeping in mind PPP and cost-advtg as weaker currency would mean better output. aint that right ?
@guilinfd (76)
• China
26 Apr 07
i agree with you.
but the first question is whether the ruppe is overvaluated or not. i think the solution to this question lies in finding what determine the exchange rate, it is the ppp or anything else. and there is a big debate on this issue.
