Former Indian Central Bank Official Warns Rupee Stabilisation Could Hurt Economy
A former central bank official said allowing the rupee to act as an automatic stabiliser during global disruptions could have real-economy consequences, with exchange-rate overshooting posing financial stability risks.
By Gopika GopakumarLeaving the rupee to play the role of an automatic stabiliser amid global disruptions can have real economy consequences, a former top official of the central bank said, adding that exchange rates can overshoot and lead to financial stability risks.The Indian rupee has come under…