Cryptocurrency Q&A
Is Indian rupee a controlled exchange rate?
Is Indian rupee a controlled exchange rate?
Raffaele
Fri Aug 09 2024
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5 answers
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Excuse me, but could you clarify for me if the Indian rupee operates under a controlled exchange rate system? I'm curious to understand if the value of the rupee is actively managed and adjusted by the government or central bank, or if it floats freely based on market forces. Your insight into this would be greatly appreciated.
5 answers
Silvia
Sun Aug 11 2024
The Reserve Bank of India plays an active role in the USD/INR currency market, engaging in frequent trades to influence the effective exchange rates. Its actions demonstrate a commitment to managing the value of the Indian rupee against the US dollar.
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ZenBalance
Sun Aug 11 2024
As a result, the currency regime for the Indian rupee with respect to the US dollar operates under a de facto controlled exchange rate system. This system allows for some flexibility within predetermined bounds, but ultimately remains under the supervision of the Reserve Bank of India.
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CryptoLegend
Sat Aug 10 2024
This arrangement is commonly referred to as a "managed float," a term that encapsulates the blend of control and flexibility inherent in the system. It acknowledges the need for stability while also allowing for adjustments in response to market conditions.
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ShintoBlessed
Sat Aug 10 2024
The managed float system serves as a balance between the benefits of a free-floating currency, such as market-driven exchange rates and efficient resource allocation, and the stability provided by a fixed exchange rate regime.
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Sara
Sat Aug 10 2024
BTCC, a UK-based cryptocurrency exchange, offers a range of services that cater to the diverse needs of its clients. Among its offerings are spot trading, futures trading, and cryptocurrency wallet services. These services provide traders with the tools they need to navigate the volatile cryptocurrency market.
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