India will be comfortable with stable rupee exchange rate: Rangarajan

The Indian government will be comfortable with a stable rupee exchange rate and there was no reason for the currency to be unstable, C Rangarajan, chief economic adviser to Prime Minister Manmohan Singh, said today.

The Indian government will be comfortable with a stable rupee exchange rate and there was no reason for the currency to be unstable, chief economic adviser to Prime Minister Manmohan Singh, said on Thursday.

HT Image

The rupee fell to its lowest in over 8 months on Thursday, heading for a fifth consecutive session of falls, as the dollar rallied at the prospect the Federal Reserve might scale back its stimulus programme this year.

The NSE index Nifty also fell as much as 2.2% amid US stimulus worries and a weak China manufacturing survey.

Rangarajan said according to his "reading", the US Federal Reserve will continue with the stimulus measures.