Indian rupee down almost 7% as government and RBI act
The Indian rupee has taken a hit this year, dropping almost 7%, with an extra 6% slide since the Iran conflict kicked off in late February.
Higher import costs and foreign investment pullouts are making things tough for the economy.
To help steady the rupee and bring in more global money, the government and the Reserve Bank of India (RBI) have rolled out some new strategies.
India eases rules, grants tax break
Foreign investors now get a tax break on earnings from Indian government bonds, thanks to a fresh Income Tax Amendment.
RBI has made new long-term bonds available and loosened rules for overseas investments.
Plus, they've decided to provide a concessional foreign exchange swap facility for public sector companies, with operational details to follow and raised investment limits for individual overseas investors, including nonresident Indians and overseas citizens of India, with the individual PROI limit increasing from 5% to 10% and the overall cap rising from 10% to 24% to encourage more inflows and support the currency.