rupee requires immediate government action. Awaiting
an equilibrium that never comes would not only keep
squeezing the working people but would eventually
make the government run to the IMF and other financial
institutions in panic. Measures like raising interest
rates, fiscal compression, and using foreign exchange
reserves have their own fallouts. There have to be
direct restrictions on inessential imports combined
with some controls on capital outflows.
This article was originally published in The
on September 25, 2018.