FM takes stock of eco situation as rupee slips below 62 mark

Business

oi-Staff

By Super

Published: Monday, August 19, 2013, 16:07 [IST]

New Delhi: With the rupee crossing 62 against the dollar, Finance Minister P Chidambaram on Monday met senior officials of various departments to take stock of the current economic situation and deliberated on steps to improve it.

The three hour long meeting was attended by Secretaries of departments of Revenue, Expenditure, Financial services and Disinvestment.

Sources said the Finance Minister took stock of the functioning of various department and sought suggestions from officials for improving the economic situation.

The agenda for next three months was discussed, another source said.

The meeting comes in the backdrop of rupee touching an all time low of 62.82 to a dollar and the stock markets too witnessing a decline.

"It was a performance assessment and way forward," a source said.

The Minister would be meeting the Department of Economic Affairs tomorrow.

To restrict the outflow of foreign currency, the RBI had on August 14 announced stern measures, including curbs on Indian firms investing abroad and on outward remittances by resident Indians.

The central bank reduced the limit for overseas direct investment (ODI) by domestic companies, other than oil PSUs, under the automatic route from 400 percent of net worth to 100 percent. Higher levels of ODI would now need prior approval from RBI.

PTI