News Snapshot:
Since India is a net importer country, the rupee depreciation aggravates inflationary pressure on the manufacturing sector. The weakening of the rupee, hovering at an all-time high of Rs 81.90 (on Wednesday) against the US dollar, will have disproportionate direct and indirect effects on the Micro, Small, and Medium Enterprises (MSMEs), that have imports denominated in dollars and witness an increase in their input costs. Recently the Reserve Bank of India has taken several measures to ensure foreign currency inflow and prop up the rupee, such as higher overseas borrowing limits and also a move to allow international trade settlement...
