India's central bank spends $5 billion to defend rupee's 95 level as foreign outflows hit 32-year record - finance.biggo.com
India's central bank spends $5 billion to defend rupee's 95 level as foreign outflows hit 32-year record - finance.biggo.com
Source: finance.biggo.com
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DW NOTE
The RBI just burned $5 billion holding an arbitrary line in the sand while foreigners liquidate Indian assets at the fastest pace in three decades. Central banks treat exchange rates like moral imperatives — but every dollar spent defending the rupee is a dollar that could have earned returns elsewhere, or simply been left alone. The 95 level has no economic significance; it's a psychological Maginot Line built from reserves that belong to Indian savers, not currency traders.