Movement of the Rupee Since 1991

The movement of the Rupee since 1991 has seen the current account surplus in the second half of 1970. It is the period of import exchange strategy, and India adopts a closed economic model. During the 1980s, the current account deficit began to increase, leading to a 1991 balance of payments crisis. In the federal budget of 1991, the Indian rupee declined and the Indian government opened up its economy. For this reason, some reforms were liberalized, and the economic exchange rate changed from a fixed exchange rate to a floating exchange rate.

The exchange rate of the US dollar / Indian rupee before 1991 - In 1991, India still adopted a fixed exchange rate system, and the rupee was related to the value of the currency basket of the major trading partner. Since 1985, India has experienced the balance of payments issue, but by the end of 1990 India faced severe economic difficulties. The government is approaching the default, foreign currency reserves are exhausted and it is almost impossible for India to fund three weeks imports. (Resolution) In order to respond to the sharp decline in reserves of foreign reserves between 1st July and 3rd 1991, to lower the exchange rate to double the 9% and 11%, to establish investors. Confidence to improve domestic competitiveness. The Free Exchange Rate Management System (LERMS) was introduced in March 1992 and includes a medium term dual exchange rate system.

1991 - India began to release regulations on currencies. Several reforms removed restrictions on current account transactions (including trade, interest payments and remittances, and some capital-based transactions). The Free Exchange Rate Management System (LERMS) (Dual Exchange Rate System) introduced a partial conversion of rupees in March 1992. On 8th November 2016, the Indian government announced copyright protection of all £ 500 ($ 7.00) and £ 1,000 ($ 14) of the banknotes of the Mahatma Gandhi series. The government insists that this behavior limits the shadow's economy and counteracts the use of illegal and counterfeited cash for illegal activities and terrorism

After the rapid depreciation in 1991 and the transition to the current account turnover in 1994, the value of rupees depends greatly on the market force. Between 2000 and 2010, the rupee was fairly stable. In September 2013, Rupees recorded the lowest ever in the history of 68.27 against the US dollar. Indian per capita gross national income has experienced high growth rate since 2002. It grew in the period from 19 and 040 in 2002-2003 to 53 and 331 in 2010-11, and it grew by an average of 13.7% in 8 years and 15.6% in 2010. However, in 2010-11, the rate of per capita national income growth after inflation adjustment slowed from 4% last year to 6%. These consumption levels are separate. The average household income in India in 2011 was $ 6,671 per household