Currencies around the world tend to fluctuate at times based on what is happening around the world. Luckily for you, the Ganjero has been sitting steady at 50G to 4000 Jacks. This confidence however, is not shared with all other currencies around the world.
Most notably confidence levels have plummeted in regards to the Indian Rupee. The Rupee has been dropping in value at record levels, meaning that its value in relation to many other currencies has fallen. This is especially the case for the Rupee exchange rate against the U.S Dollar which fell to an all time low at 68.85 Rupees to the dollar on August 28th, 2013. This This is down from 66.24 Rupees to the dollar. Although it has recovered since then the Rupee continues to have issues.
The Rupee has depreciated against the dollar for several reasons. Such a depreciation will impact the economy in many different ways, most likely triggering some sort of government intervention.
To start let’s look at why. Why has the Rupee depreciated against the dollar? To answer this question we are going to use two articles, one that looks at the collapse on August 28th, 2013 and one that looks at more recent fall on October 31, 2013. (Paise= Cents)
A depreciating currency does allow for a country’s export to become relatively cheaper however, it also makes imports relatively more expensive. Currencies movements however, can cause a number of issues to develop in a country’s community.
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