Jun 22, 2013, 02.39 PM | Source: Reuters
There is no need to react and panic over the rupee's fall, Finance Minister P. Chidambaram said on Friday.
The rupee had slumped to a record low of 59.9850 to the dollar on Thursday, following the US Federal Reserve's statement on its plan to wind down the monetary stimulus.
"We are not insulated from what is happening in the rest of the world," Chidambaram said at a press conference. "My request is we should not react and panic. It is happening around the world."
Chidambaram said policymakers were monitoring the rupee and the Reserve Bank of India would do whatever was needed to stem the fall.
The rupee has been one of the worst performing currencies in Asia following a global sell-off triggered by fears that the US Fed might start tapering off its support for the economy.