RBI chief says not in favour of devaluing exchange rate
Reserve Bank of India Governor Raghuram Rajan said on Monday he was not in favour of devaluing exchange rates to boost economic growth, signalling India will not join other countries such as China or Japan in pushing down their currencies.
"I personally feel sustained devaluation is neither feasible nor a good strategy," Rajan said in a speech at a conference on medium scale enterprises in Trivandrum, in southern India.
"This (devaluation) is not the intent of RBI." But Rajan reiterated the central bank would strive to curb excessive volatility.
The Indian rupee has been one of the worst performers in Asia this year, falling by nearly 3 percent after strong foreign investment outflows from equity markets.