Former CEA Arvind Subramanian has labeled India’s current currency crisis as a daunting challenge for new RBI Governor Sanjay Malhotra, pointing out the inevitability of the rupee’s decline and the tough choices facing the central bank. Subramanian criticized the policy framework inherited from Malhotra’s predecessor, Shaktikanta Das, which led to a breaking point in the rupee’s stability, with only two options available for the RBI: gradual depreciation or sudden significant drop, both carrying risks of speculative pressures and economic disruption. The recent record low of the rupee against the dollar, driven by various factors, has prompted Malhotra to consider allowing greater currency flexibility, although Subramanian cautioned of impending turbulence and the formidable challenge of balancing export competitiveness with oil import costs for the RBI.
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Army plans to boost air defence capabilities with new guns, potent radars
The Army Air Defence is enhancing its capabilities in response to evolving warfare dynamics, planning to replace old platforms, introduce new fragmentation ammunition, and deploy advanced radars. Additionally, the army aims to secure a contract for the Quick Reaction Surface to Air Missile (QRSAM) system within 4-5 months to bolster its defense. Director General Lt Gen Sumer Ivan D'Cunha emphasizes modernization and 'Aatmanirbhar Bharat', urging the Indian industry to deliver with reduced timelines for effective...
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