Central Bank Intervention in Forex Market: An Indian Experience
July 4th, 2011
The floating of the Indian rupee has witnessed a notable improve in the size and scale of intervention, with a marked increase in the purchases of dollars by the Reserve Bank of India (RBI). The switch to a floating exchange rate has been accompanied by an increase in volatility in most countries. But unlike the international experience, the volatility in India was not so marked. This the moment once again points to the RBI?s intervention to manage volatility. So it has been observed that the RBI reacts to exchang
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