The Federation of Indian Export Organisations (FIEO) has
sought RBI intervention to calm the rupee and support
the falling dollar to help exportes hit by the falling
president Ganesh K Gupta said the RBI should not only
intervene directly in the foreign exchange market to support
the falling dollar but also cut the interest rates to
check foreign fund flows.
want immediate intervention by RBI," he said. Besides
checking the overseas fund flows, a cut in the prime lending
rate (PLR) would reduce exporters'' cost of borrowing.
"The advantage of pre-shipment and post-shipment
credit at 4.5 per cent below PLR has been offset by the
increase in the benchmark interest rates," the FIEO
said the government has not implemented the package for
exporters announced in June this year. "The announcement
simply remained on paper and arrears of increased Duty
Entitlement Pass Book (DEPB) and drawback have not been
given to exporters," he said.
also demanded extension of recently notified service tax
waiver to transport of goods from factory to container
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