Top Headlines: Rupee breaches 80/$ for 1st time, Right to Repair, and more

The rupee on Tuesday weakened past 80 per dollar for the first time but went on to recover lost ground against the greenback owing to interventions by the Reserve Bank of India (RBI) and persistent sales of dollars by exporters. Meanwhile, the recent depreciation in the value of rupee against the US dollar signals a slowdown in India’s growth cycle. Read more on these in our top headlines.

Rupee breaches 80/$ for first time, settles at 79.95 after RBI intervention

The rupee on Tuesday weakened past 80 per dollar for the first time but went on to recover lost ground against the greenback owing to interventions by the Reserve Bank of India (RBI) and persistent sales of dollars by exporters, dealers said. The rupee plunged to its lifetime low of 80.06 per US dollar in early trade before recouping all losses to close at 79.95. Read more
 

Rupee fall likely to hit govt finances with ballooning subsidy bill

A depreciating rupee — that touched Rs 80 per dollar in intraday trade on Tuesday — may adversely impact central government finances through a higher subsidy bill, albeit higher inflation possibly increasing government revenue. With already elevated crude and fertiliser prices due to the ongoing Russia-Ukraine stand-off, an eroding rupee will add to the import bill and subsequently the subsidy burden on the government. Read more
 

Rupee at 80: Signs of lower FY23 GDP and corporate sector growth

If history is any gauge, the recent depreciation in the value of rupee against the US dollar signals a slowdown in India’s growth cycle. This will translate into lower-than-expected growth in gross domestic product (GDP) and corporate sector growth in 2022-23 (FY23). Historically, there is a negative correlation between the rupee exchange rate, economic growth, and corporate sector growth in the country. Read more
 

5G players get ready for a long road to seamless mobile network

So just how big will the 5G mobile market really be? Mobile operators are not too bullish about the initial numbers. They fear that lack of killer ‘use cases’, even globally, could stymie the speedy conversion of customers to the new service and also keep ARPUs stagnant, despite the large incremental investment required (about Rs 60,000 crore per player). Read more
 

How the Right to Repair rule can cut short your visit to the service centre

Even as Centre announced that it is working to come out with a framework on ‘Right to Repair’, stakeholders from the re-commerce and repairs industry have called upon the government to avail original spare parts in the open market to help mainstream third-party repairs and reduce the monopoly of Original Equipment Manufacturers (OEMs) in the sector. Read more
 

Indian defence firms seek protection from exchange rate variation

The exchange rate of US dollar vis-à-vis Indian rupee has fallen to Rs 79.74 to the dollar, down from Rs 74.55 a year ago. The 6.96 per cent fall in rupee against dollar in just one year is making private Indian defence companies consider petitioning the Ministry of Defence (MoD) for protection against exchange rate variation (ERV). Read more