RBI should ease its tight grip on rupee, says Viral Acharya
Financial Express Kochi|January 07, 2025
FORMER RESERVE BANK of India deputy governor Viral Acharya said the central bank should ease its tight grip on the rupee, a view that comes amid uncertainties over whether the new governor will maintain his predecessor's policy of limiting currency swings.
BHASKAR DUTTA & SUBHADIP SIRCAR

"You don't need to kill volatility to manage excessive volatility," Acharya said in an interview. The RBI must allow "some baseline volatility because it maintains a certain level of private hedging, which is important because the central bank can't do full absorption of risk".

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