Mumbai: The huge fall in rupee has been described by the State Bank chairman Arundhati Bhattacharya, as being propelled by growing fears about the crisis affecting China and does not indicate any problems with the Indian economy, according to a report in Economic Times.
She said: “The current strain on the rupee is triggered by global issues as there are some amount of apprehension as to where China is going. Obviously it’ll take a little time before we get the floor.”
The markets crashed on Monday and the stock indices fell nine pins. Following this the rupee fell 82 paise to 66.65 to the dollar. The Sensex and Nifty had to take the blows as well. The Sensex was 5.94 per cent down at 25,741.56 and the Nifty registered 7,809 around 5.92 per cent down.
The cumulative market value of listed stocks that denote the total investor wealth, fell below Rs 100 trillion mark.
Bhattacharya called this blood bath in the market as being “triggered by facts then it is much more difficult to stop. But I do believe that this is more triggered by apprehension (over China) than facts” as per the ET report.
She added that investors will realize that India is a good spot as all its macro parameters are doing well.
India is continuing to engage with the US over the H-1B visa, largely availed of by Indian IT companies, after the Trump administration proposed changes to the programme, a senior official said on Thursday.
“It is a very important topic for us and that is the reason why we have time and again at various levels, we have taken up this matter with the US side,” External Affairs Ministry spokesperson Raveesh Kumar said in response to queries by journalists here.
Kumar said that most recently, the issue was raised during the first ever India-US 2+2 Ministerial Meeting held here last month that was attended by External Affairs Minister Sushma Swaraj, Defence Minister Nirmala Sitharaman, US Secretary of State Mike Pompeo and Defence Secretary Jim Mattis.
On Wednesday, the US Department of Homeland Security (DHS) said that the US Citizenship and Immigration Services (USCIS) plans to come out with its new proposal by January 2019.
The DHS said it was also proposing to remove from its regulations certain H-4 spouses of H-1B non-immigrants as a class of aliens eligible for employment authorisation.
The move to end the rule could have an impact on more than 70,000 H-4 visa holders, who have work permits.
The H-4 visas are issued by the USCIS to immediate family members (spouse and children under 21 years of age) of the holders of H-1B visa.
The DHS said it will propose to revise the definition of speciality occupation to increase focus on obtaining the best and the brightest foreign nationals via the H-1B programme.
It will also “revise the definition” of employment and employer-employee relationship to “better protect” US workers and wages, the DHS said.
In his remarks on Thursday, Kumar said that India is closely engaged with the US administration as well as the US Congress on this matter.
Stating that there are certain bills which have been introduced, he, however, said that “it is important to note that none of these bills have been passed so far”.
“When we have engaged with the US, we have emphasised that our partnership which we have in the digital sphere have been mutually beneficial,” the spokesperson said.