As the rupee continues with its downward trend against the dollar, touching 82.32 on Friday, Finance Minister Nirmala Sitharaman has said that she sees the phenomenon as dollar strengthening and not the Indian currency sliding, which has triggered ridicule from the opposition at India's inability to strengthen its currency.
Addressing a press conference in Washington on Friday, Sitharaman said that rupee has withstood dollar's rise and has performed better than those of other market currencies.
"I won't see this as rupee sliding but as dollar strengthening. It is a matter of fact that the rupee has withstood the rise of dollar. But it has performed better than many other emerging market currencies," she said.
The Finance Minister added that RBI is working to prevent its slide and contain it's volatility. "I will just say that rupee will find its own level," she said.
On rising inflation and soaring food prices, the Finance Minister said that the economic fundamentals "are good". Foreign exchange reserves are in a "comfortable position" and inflation is also "manageable" she said.
On rising trade deficit with China, Sitharaman defended that "the imports are more of intermediary goods. So we are not anxious about rising imports as they are of goods which are of value added products for exports purposes".
To a question on Income Tax department and Enforcement Directorate's (ED) conviction rates, Sitharaman said: "ED is independent in what it does. It works on predicate offences and comes in the picture after other agencies pick up a case. There are instances which have stood out and if ED goes after them, it is with prima facie evidence."
FM deserves Ph.D. in Economics: Congress
Taking a jibe at Nirmala Sitharaman over her statement that Indian currency is not sliding, the dollar is strengthening, the Congress on Monday reacted that the Finance Minister qualifies for a PhD in Economics.
"Economics I do not know but in the school of Political spin this one byY'Y@nsitharaman qualifies for a PHD Rupee is not sliding, dollar is strengthening,' says FM @nsitharaman when Rupee will open at 82.37 to the dollar " Congress MP Manish Tewari tweeted.
