When the liberalisation started the exchange rate was around 38-39 per dollar. Now it went to 45-46.Then the importers suffered . the exporters enjoyed They never gave the consumer any benefit. The IT companies enjoyed a lot of surplus. Every employee reaped the benefits in abundance.They were richer by the day. BUt the enginerring industries were hit hard by the weak rupee. The real management lies in doing the balncing act at all times.They always want every factor to be in their favour so that they are always in the comfort zone. By sgtrengthening of the Rupee only a handful is affected. Majority if benefitted by lower cost of imports,oil, crude metals and engg goods. Let it reamin so. For the sake of hand ful let us not disturb the mejority. Let them tighten their belt and effect c ost cutting and come pout of the difficulties, The net profit has only come down. It ha not become negative. Let them work on lean and become properous. Vrajaraman
RE:Appreciating rupee
by viccy vora on Aug 06, 2007 12:01 PM Permalink
Rajaraman - Pls update ur self when the liberalisation started the exchange rate was 19-20. The world bank gave us loan at very less rate of intrest but when the loan was repaid the exchange value was 33 -34 Just imagine how we were robbed.
RE:Appreciating rupee
by Sivaraman Srinivasan on Aug 06, 2007 12:26 PM Permalink
Viccy vora. World bank will not gain due to appreciating dollar. what they get is only interest amount. But the loss would be for the country for buying at higher rate than the purchase rate. But that does not inflow of the world bank.
RE:Appreciating rupee
by jrdas on Aug 06, 2007 01:15 PM Permalink
Why dont the Govt not taxing IT companies , they are making good profit. It and service sector should be taxed like other manufacturing industry, if u r running a small scale industry in an industrial area u have to pay all taxes but still in STPI's thease huge software cos diditn pay any tax except income tax. this has to stop treate all industries as same
