Rupee devaluation News

Pakistan`s central bank said on Wednesday a sudden 3 percent weakening of the rupee against the dollar would help the country`s external account and shore up economic growth.

Till September 14, Finance and Commerce Ministry corridors were abuzz with possible rupee-devaluation topic. However, as the next day arrived, all these speculations went to the backburner.

As the rupee saw a sudden plunge this morning on reports of currency devaluation, Finance Ministry officials on Thursday said there were no plans to devalue the domestic unit and its value will continue to be determined by the market.

The government sent mixed messages on Thursday whether it wanted a weaker rupee, with Commerce Minister Nirmala Sitharaman saying she had not told a reporter the government was discussing a devaluation but stopping short of an outright denial.

The Indian rupee fell below 67 to the dollar on Thursday after a television channel reported that the commerce ministry will propose a devaluation in the unit to the government to promote dwindling exports.

Reserve Bank Governor Raghuram Rajan Monday said neither RBI nor the government intends to "undervalue" the rupee to pursue growth unlike countries such as China and Japan because it leads to a lot of problems over time.