India opposes IMF for terming currency intervention 'excessive'

'Unjustified': India opposes IMF for terming currency intervention 'excessive' India has pushed back against the International Monetary Fund (IMF) after the organisation suggested that the Reserve Bank of India's intervention in the foreign exchange market was excessive. The IMF stated that the rupee's movement within a narrow range from December 2022 to October 2023 indicated that the central bank's intervention "likely exceeded levels necessary to address disorderly market conditions."Subsequently, the IMF reclassified India's foreign-exchange regime from a "floating" system to a "stabilized arrangement." However, India disagreed with the IMF's assessment, considering it "unjustified". The Reserve Bank of India (RBI) countered, arguing that the IMF's evaluation was selective and would fail over a two to five-year horizon. "The RBI strongly believes that such a view is incorrect as, in their view, it uses data selectively," added the report. [Read more]( If you would prefer not receiving our emails, please [Click Here](