Rajan says rupee gains to 45-50/dlr would hit exports

Reserve Bank of India Governor Raghuram Rajan told a TV channel a "substantial" strengthening in the rupee to 45 or 50 per dollar could hit exports, although he added the RBI was fine with "a certain amount of leeway" in the currency.

Reserve Bank of India Governor Raghuram Rajan told a TV channel a "substantial" strengthening in the rupee to 45 or 50 per dollar could hit exports, although he added the RBI was fine with "a certain amount of leeway" in the currency.

Rajan also said during a CNBC-TV 18 interview that the RBI does not want to declare victory on inflation yet, despite keeping interest rates on hold on Tuesday as widely expected.

The RBI would rethink its stance if there is a "substantial" change of inflation, up or down.