[ad_1] India has a short-term macroeconomic scenario. Excessive oil costs—India’s bug-bear given our giant dependence on oil imports—have meant that the present account deficit has widened. On the identical time, a slowdown in flows into non-public fairness and enterprise capital and the continued outflows by portfolio buyers have left the capital account in deficit. This has meant that the Reserve Financial institution of India has needed to promote its international alternate reserves to a) bridge the capital deficit and b) shield the Indian Rupee from depreciating sharply.The truth that the RBI has needed to announce measures to liberalise international alternate…
