World Politics

India, added to US currency watchlist; more on what report says

US agencies believe that it does not appear necessary.

With the United States adding India to the currency practices and macroeconomic policies monitoring list, the country said that New Delhi has increased its purchase of foreign exchange over the first three quarters of 2017.
The US agencies believe that it does not appear necessary.

US says that net annual purchase of foreign exchange is almost equivalent to 2.2 percent of the India’s GDP.

It need be mentioned that India has been added on the watchlist along side China, Japan, South Korea, Germany and Switzerland.

The figure finds mention in a recent report to the US Congress.

The report also highlighted that purchases came amidst relatively strong foreign inflows, both of foreign direct investment and portfolio investment.

The US Congress was also told that India has a significant bilateral goods trade surplus with the US that is close to USD 23 billion dollars in 2017.

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