The Indian Rupee is losing its strength, continuously, despite the steps taken by the government of India. The Indian Rupee experienced all time low of 61.30. The finance minister, Mr. P. Chidambaram has liberalized the norms for attracting for investments in India. Still, the move is not just sufficient and short of expectation.
Most of the traders were anticipating the Indian Rupee supporting move and they went short. On Thursday, in the forex market, the Indian Rupee gained a marginal .7 percent, because of the additional measures, which were taken by the Reserve Bank of India. There was a .4% appreciation value of INR. Since many businessmen are importing gold from foreign countries, the government has taken steps to contain gold, silver and oil, apart from the non-essential products. For the purpose of attracting foreign funds, the government has asked state financial institutions to extend different types of sovereign bonds. This would help to raise additional funds, through external commercial borrowings.