| |
Rupee finally breaks Rs 40 barrier
The rupee plumbed new depths against the dollar yesterday inspite of the Reserve Bank of India's (RBI) attempts to save it. The RBI pumped in $50-70 million in the forex markets yesterday but could not prevent the rupee from dropping below the dreaded Rs 40 mark as it touched a record low of Rs 40.25 before improving to Rs 40.07/12. The rupee, however, dropped further to close at Rs 40.10/15 due to a late corporate surge for the dollar.
 |
|
Dollars dry up as exporters keep away
The Reserve Bank of India (RBI) may have to effect a volte face on its earlier directive to banks asking them to square up their foreign-exchange positions. The RBI directive has caused a severe liquidity crisis in the forex market. While exporters are holding their proceeds outside, importers are also rushing to cover their unhedged positions, thus creating the crisis in the market.
|
 |
MoF unfazed by rupee fall
The Finance Ministry termed the fall of the rupee to sub-40 levels as an expected development. It has attributed the fall to a demand-supply gap vis-a-vis the dollar. The ministry also stated that the rupee fall was also a fallout of the prevalent South-East Asian crisis.
|
Aircraft sale yields $ 26 mn for AI
Air India (A-I) is likely to finish the fiscal on a better note than initial projections, thanks to the phasing out of two of its aircraft. A-I garnered $26 million through the sale of these aircraft to UPS and the US-based Triton. A-I's has also floated an offer for the sale of two more aircraft and the process is expected to get over by mid-1998.
|
