Ensuring Indian rupee stability always a priority of RBI, says Guv Das

Indian Rupee

The Reserve Bank of India (RBI) Governor Shaktikanta Das on April 5 said the central bank always prioritises stability of Indian rupee.

“It is always the priority of the RBI to ensure stability of Indian rupee,” Das said during the post policy press conference.

At 1:15 PM, Indian rupee is trading at 83.32 against the US dollar.

On the forex reserves front, the governor said the central bank consciously over 4-5 years were building reserves depending on the prevailing market situation.

“It acts as a future against future risks, especially in the situation when the cycle turns when there are significant outward flows of dollars,” he said.

RBI governor also said that the Indian rupee (INR) has remained largely range-bound as compared to both its emerging market peers and a few advanced economies during 2023-24.

The INR was the most stable among major currencies during this period. As compared to the previous three years, the INR exhibited the lowest volatility in 2023-24. The relative stability of the INR reflects India’s sound macroeconomic fundamentals, financial stability and improvements in the external position, Das added.