why the value of the the Indian currency is decreasing day by day against us dollar? Explain
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Economy growth is not entirely linked to foreign currency value. A country's GDP can grow temporarily by taking huge loans , like Pakistan getting it from China. Currency value of country is dependent upon competitive exports , foreign trade surplus , foreign investment for long term and reduction on imports.
Falling Rupee is a simple case of excessive demand for dollars and lack of supply of dollars in our country due to poor exports .
Falling Rupee is a simple case of excessive demand for dollars and lack of supply of dollars in our country due to poor exports .
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Answer:
India's trade deficit
Imports too plunged 3.88% to $33.9 billion. This heavy trade deficit weakens the Indian rupee in the Forex online market. The Global Economic Slowdown paired with the deficit in trade is a deadly combination that is paving way for the fall in the current rupee value against the US dollar.
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