Weakening of rupee not a cause of worry: Niti VC
New Delhi: Niti Aayog vice chairman Rajiv Kumar today said weakening of rupee is not a cause of worry as it is still overvalued in terms of Real Effective Exchange Rate (REER).
The rupee is hovering around a low of 69 per dollar due to multiple headwinds, including concerns over inflation and weak global cues.
During the UPA-II regime in 2013, the rupee had weakened from 57 to 68 a dollar in three months, and hence the comparison would be misplaced, Kumar said in a press conference on initiatives taken by Niti Aayog.
He was responding to criticism of the government on the issue of handling of the rupee.
"Rupee is overvalued in terms of REER. There is no reason to worry...RBI has maintained that it will not interfere to keep the rupee at any particular level," Kumar said.
On the issue of takeover of IDBI Bank by LIC, Kumar said: "LIC will make very good money by investing in IDBI. I see IDBI Bank's turnaround soon and improvement in its market capital."
He further said the economy is likely to grow at 7.5 per cent in 2018-19, and in 2019-20, it may grow at 8 per cent.
"By 2022, the country will start growing at 8.5 per cent, and thereafter it will sustain it," he said.
The Niti Aayog vice chairman said no other government in the past has taken so many reforms as the Modi-led NDA government has taken in the last four years.
He also noted that there has been ample employment generation in the last 4 years in the country.
Replying to a query on disinvestment of Air India, Kumar said: "The government is considering the whole issue afresh."
Indian markets expected to open sideways due to weak Asia cues. Nifty resistance seen at 11180, support seen at 10900,10830.
One of US President Donald Trump's former foreign policy aides has said allegations that he worked with the Russian government during the 2016 US election are "misleading".
US space agency NASA is preparing to launch a probe in August to study the Sun closer than any human-made object ever has, revealing multiple mysteries behind the star.
Pakistan Tehreek-e-Insaf (PTI) candidate Sardar Ikramullah Gandapur has been killed after a suicide bomber targetted his vehicle in DI Khan's Kulachi Tehsil, officials said.
The last session of the G20's Third Meeting of Finance Ministers and Central Bank Governors has taken place here, with delegates acknowledging the rise in trade tensions while calling for greater dialogue.
The station, which was named after Lord Elphinstone, the Governor of Bombay Presidency from 1853 to 1860, has now been renamed in honour of a local deity.
Lavasa -an ultimate getaway, a city that would offer the charms of European locales, with five star comforts in a scenic part of Maharashtra has now become an abandoned town.
A second chargesheet by the ED has confirmed the trail of illegal cash Mallya transferred to his accounts across global tax havens.
Delayed payment by GMR-led DIAL, the Delhi airport operator, to the CISF guards could eventually lead to passengers paying more to fly out of the Indian Capital.
The West Bengal Police has claimed to have busted a Rs 100 crore plus job racket in the Indian Railways following a crucial arrest in the Indian Capital.