Shamika Ravi Sparks Rupee Dollar Debate

A recent statement by Dr. Shamika Ravi, a member of the Prime Minister’s Economic Advisory Council, has sparked a fresh debate on the Indian economy and the future of the Indian Rupee. Speaking on a podcast, she said that even if the Rupee reaches ₹100 against the US Dollar, it should not automatically be considered a crisis. According to her, exchange rates are “just a number,” while India’s long-term economic fundamentals remain strong.

Her remarks come at a time when the Rupee is trading near record lows. On Thursday, the Indian currency closed at ₹95.78 against the US Dollar. Rising crude oil prices, foreign capital outflows, and uncertainty in global financial markets are continuing to put pressure on the currency. Dr. Ravi also argued that governments should avoid artificially supporting a currency when market conditions are pushing it lower.

However, her comments have triggered discussions among economists and market experts. A weaker Rupee can increase the cost of imports such as crude oil, electronic goods, and other overseas products. This may eventually lead to higher prices for consumers and add inflationary pressure. As policymakers and investors closely monitor currency movements, the debate over whether a weaker Rupee is a concern or a natural outcome of economic growth is expected to continue