INR on the World Stage: Challenges and Opportunities”
The Indian Rupee (INR) is strategically positioning itself to become an alternative reserve currency on the global stage, despite its recent decline against the US Dollar (USD). This situation, while challenging, has spurred India into action, leading to significant agreements aimed at bolstering the INR’s international standing.
India’s Strategic Moves Toward Reserve Currency Status
Oil Trade Agreements: India, heavily dependent on oil imports, has taken proactive steps to mitigate the impact of the INR’s devaluation. Last July, India signed a pact with the United Arab Emirates (UAE) to pay oil bills in INR. This arrangement helps reduce the vulnerability caused by fluctuations in the USD-INR exchange rate. Additionally, India has executed INR trades for Russian oil import...