Political rhetoric regarding the fall of the rupee against the dollar has again intensified. According to available information, Congress on Monday targeted Prime Minister Narendra Modi and said that the continuous weakness of the rupee is worrying and on the same pretext they also reminded PM Modi of his old statement of 2013.
Let us tell you that a sharp fall in the rupee was recorded last Friday, when it fell by 98 paise and closed at 89.66. This is considered to be the lowest level of rupee till date. According to market experts, heavy selling in domestic and global stock markets, increased demand for dollar and uncertain trade conditions have led to this decline. However, on Monday morning the rupee showed slight improvement and after opening at 89.46, it strengthened to 89.17.
Congress communications chief Jairam Ramesh, posting on Twitter, said the rupee continues to fall and may soon cross the 90 mark. He questioned whether Prime Minister Modi remembered the statement he had given in July 2013 on the fall of the rupee. He also shared the video in which Narendra Modi, who was the Chief Minister of Gujarat at that time, is seen taking a dig at the UPA government. In the video, Modi is seen saying, “The rupee is falling so fast that it seems there is a competition going on between the Delhi government and the rupee as to whose prestige falls first.”
It is noteworthy that the strength of the dollar in the international market is putting pressure on many emerging economies. Experts say that crude oil prices, global trade tensions and changing strategies of investors are also deciding the direction of the rupee. According to economic analysts, foreign investment and global market cues will influence the rupee’s fluctuations in the coming weeks, while efforts are still on by the government to maintain stability.
