Re: Thanks to Globalisation
by Indian First on Jun 28, 2012 11:57 PM
Who cares for oue sinkig ecoonomy and indian rupee, not our crooked rulers and looters who have trillions looted in swiss banks and every sinking of rupee fives them billions more rupees too, shame indians and majorty hindus!What a shame! India must Ban Entry of all white skinned foreigners and foreing products or tax them 100 or 200% of their value and Look East for all their trade and related activities too without delay.India must stop import of oil now and live in a pollution free atmosphere without automobiles,etc, It is better to live as proud indians and not live as slaves and untouchables of crooked western looters and gulf countries too. Then One Dollar will become worth One Rupee in no time at all, but for that we need to kick out crooked western agents and looters and dacoits ruling us and looting us too!
Chinese currency goes stronger and stronger against all other currencies.
When your economy relays on export heavyly, you wish your currency cheaper but if your economy relays on import heavyly, you wish your currency stronger. What type of economy that india has? China has manipulate her currency to be weaker and west push China to strengthen her currency. What about india? Is india doing same thing as China did before to deliberately weaken its currency or there is some bad thing to force india to weaken its currency? If india deliberately weaks its currency, it may a good thing for indain. Otherwise india has a problem.
Make Indian Education Exportable and regulate the foreign exchange outgo by regulating the flow of students going out of India spending valuable foreign exchange.
Exports will go down only if the Rupee appreciates and this is a very serious blow. Paying a hefty Oil bill and increasing the imports of defense weapons, high tech consumer items the trade deficit will increase quite a bit.
Increasing the exports due to a price advantage is the only way out for India. This model seems to have been working since 1991. Forex reserves are up to 300 billion and India has successfully averted a Balance of payment crisis in 2007-2008 downturn and in the future.
If the Rupee appreciates the price of Oil will be cheaper, but the drop in exports such as IT, Pharma, textiles and Diamonds will be substantial.
The Indian Rupee needs to be priced in such a manner that the trade deficit is minimal. A better long term strategy is to increase the production of LNG gas and Oil exploration, invest in shale gas, this could save some Oil bills, but the demand for Oil will always increase.
The manufacturing and industry has to catch up and close the quality gap needed to export in countries like Africa.
Re: Economic growth?
by Nikhil Shah on Jun 12, 2012 03:26 AM
Yes, The Japanese Yen was set to 300 against the dollar in 1971 Oil crisis, Yet they seem to have benifited from it
China on the other hand set the Rembini to 6-7 to the dollar. Because the of the trade deficit the US now laments and wants the Yuan to set to 3-4 instead 6-7 to the dollar.
Re: Economic growth?
by kanniah krishnan on Jun 28, 2012 01:14 AM
No doubt Economic growth will always strengthen the value of the currency provided the governing authorities do not liquidate such value additions by printing paper currencies, purely helping themselves to siphon funds out of India while equating the budget vs expenditure figures satisfactorily to Comptroller of Audit General. The bubble balloons, no respite from 1950 till date, will continue - we can only watch till death departs us - crooks India Governance - What results when the fence grazes the crops!
