India's central bank deploys $12 bln to defend rupee as Iran war jolts markets, bankers say - Reuters
India's central bank deploys $12 bln to defend rupee as Iran war jolts markets, bankers say Reuters
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"India is the most exposed to the Middle East-driven export demand, with China following closely behind."
— Deepali Bhargava , Academic
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<a href="https://news.google.com/rss/articles/CBMixAFBVV95cUxPLTJYRkZaN19rSWRLMlJpSUExelNwdkRCZkt0Q2txVWJ2YjA4X05fRVppQkFLajFZX3Q3ZHhPZDNvVHBEdk9LZXZURFlsYWJUbjdXTml1cWhZMHBUWDA1akJBSk1jTGxxMkprRnptSFNnb3FTQTJQZm1raXR6Sk8yZ3R5UWJ1Z3lBWlhTYzh3a2lpcmQ5Y0l1N2R0Tmg3dEdpMnVjSkJzNnRiTXlRQ2UzbXdUOEc5RGlibDlReS04ZFY4VENR?oc=5" target="_blank">India's central bank deploys $12 bln to defend rupee as Iran war jolts markets, bankers say</a> <font color="#6f6f6f">Reuters</font>
India's central bank has aggressively defended the rupee, reportedly deploying around $12 billion to counter market turmoil from the escalating Middle East conflict. This intervention, spanning various markets, aims to curb volatility as oil prices surge and foreign investors pull back. Despite the significant outflow, India's substantial foreign exchange reserves provide a strong buffer.
India's central bank has mounted an aggressive defence of the rupee this week, deploying an estimated $12 billion to contain the fallout from an escalating Middle East war that has pummelled markets and pushed the Asian currency to an all-time low, according to seven bankers. The scale of the intervention underscores the challenge the Reserve Bank of India faces in containing volatility triggered by the Middle East conflict that has entered its seventh day.
India’s central bank has mounted an aggressive defence of the rupee in the first week of March, deploying an estimated US$12 billion to contain the fallout from an escalating Middle East war that has pummelled markets and pushed the South Asian currency to an all-time low, seven bankers said. The scale of the intervention underscores the challenge it faces in containing volatility triggered by the conflict.
The Indian rupee ended a tad lower on Friday and logged its worst weekly fall in over a month as the U.S.-Israel war on Iran sparked a surge in oil prices, jolting global markets and sparking a dash for safe-haven assets. The rupee hit a record low of 92.3025 per dollar earlier in the week but recovered sharply on the back of market interventions by the Reserve Bank of India. The currency ended at 91.74 on Friday, down 0.8% on the week.
India’s central bank has mounted an aggressive defence of the rupee this week, deploying an estimated $12 billion to contain the fallout from an escalating Middle East war that has pummelled markets and pushed the Asian currency to an all-time low, according to seven bankers. The scale of the intervention underscores the challenge the Reserve Bank of India faces in containing volatility triggered by the Middle East conflict that has entered its seventh day.
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