PowerPoint Presentation: SMT.CHANDIBAI HIMATHMAL MANSUKHANI COLLEGE Presented by: HARSHA MATTA SYBFM CHM COLLEGE ULHASNAGAR PowerPoint Presentation: Why fall in rupee? Introduction: Introduction 45 40 50 profit for Exporters→ Sell Choclates $1=45 $1=50 loss for Importers→ Buy choclates $1=45 $1=50 Deprecation Of Rupee: Deprecation Of Rupee More and more rupees are brought in our country and dollars are sold More and more rupees are sold and dollars are brought Impact: Impact ↑Imports ↑Depreciation In Rupee ↑Inflation ↑Interest Rates ↓Fixed Income ↓ Growth ↓Jobs Importers Sells Rupees & Buy Dollars There Is No One To Buy Rupee How Will It Appreciate? High Purchase Of Dollars → more Depreciation In Rupee FY12 Estimates: FY12 Estimates Imports>Exports $470bn>$320bn -$150bn Trade Deficit +$90bn Service Revenue -$60bn Net Deficit PowerPoint Presentation: Productive And Unproductive Assets Reason: Reason Every year→1000tones of gold is imported Overall gold=total GDP almost What if no gold imports? Exports=imports So if u put the same money in investments your income will increase Loan taken: Loan taken Imports faster than exports impacting stock market,corporates etc Why demand for dollar is high? India has taken loan from Europe Europe is worsened Foreign banks are not giving loans to India. Instead pressurizing to give back loan→pressure on rupee Chinese currency: Chinese currency China not affected? Whole country is facing problems why not china? This is because Yuan is always remains stable neither depreciates nor appreciates. Solution?: Solution? To balance demand & supply Proper implementation of monetary policy and fiscal policy in our country Stability in imports & exports,etc .