New Delhi: The rupee is going through its worst phase against the dollar. The Reserve Bank of India (RBI) is making every effort to stop it from falling. According to reports, RBI is seriously considering major decisions like increasing interest rates, currency swap and raising more and more dollars from foreign investors as well as non-resident Indians (NRIs).

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This week the price of one dollar had reached close to Rs 97. In this emergency-like situation, senior officials under the leadership of RBI Governor Sanjay Malhotra are continuously holding meetings and keeping an eye on the situation. Although, no official information has been revealed yet, but sources say that the first objective of RBI is to stop the fall of rupee at any cost and for this it is ready to take any step.

Interest rates may increase soon

Increasing interest rates is being considered a major option to handle the rupee. Currently the repo rate is 5.25%. The next Monetary Policy Committee meeting of RBI is to be held between June 3 and 5. But it is possible that RBI may not wait for the meeting and suddenly increase interest rates like in May 2022. Experts also believe that in view of rising inflation, interest rates may be increased in the coming months.

Currently, the difference in interest rates between India and America is the lowest in the last decade. If interest rates rise in India, foreign investors will be attracted to invest money here. This year, foreign investors are withdrawing a lot of money from the Indian stock market. Last year they had withdrawn a record $19 billion, but this year this figure has already been crossed.

Keeping an eye on NRIs, target is 5000 crore dollars

RBI is also considering introducing special bank deposit schemes for non-resident Indians (NRIs) to raise dollars from abroad. India had launched similar schemes in 2013, when about $30 billion was raised. RBI hopes that this time at least $ 5000 crore can be raised from new schemes. Apart from this, there are also plans to issue sovereign dollar bonds in the foreign market depending on the government's decision.

'The foundation of the economy is strong'

Experts believe that the rupee is falling faster than expected, but India's economic fundamentals and banking system are quite strong. This strength is not reflected in the exchange rate. Meanwhile, on Wednesday RBI had announced a currency swap auction of $ 500 crore to increase cash in the banking system and strengthen dollar reserves. There may be more such auctions in the coming days. RBI has not yet given any official statement on these reports.