The Ripple Effect: Analyzing the Impact of Rupee Depreciation on Exports and Imports
The Indian economy heavily relies on exports, but the fluctuating exchange rate of the Indian Rupee (INR) has made exports more expensive and less competitive in the international market. The Indian government’s efforts to increase exports and bring down the exchange rate have not been successful. A recent study has found that government policies aimed at boosting exports are not having a significant impact on the economy as imports are leading to exports. This article discusses the effects of the INR depreciation on the Indian economy, the government’s policies to address the issue, and the alternative measures that policymakers need to consider to improve the economy and make exports more competitive.