Current State

Of
Indian Economy
September 2008

F e d e r a t i o n o f I n d i a n C h a m b e r s o f C o m m e r c e a n d I n d us tr y
New Delhi
 ----- Recent Trends in Indian Economy -----

Industrial Growth :
The recent data on industrial production for July 2008 shows an improvement in the industrial growth
over the previous months. The industrial growth was found to gradually pick up in July 2008-09
compared to the growth posted in the previous months of this year.

However the growth during the four - month period (April- July) of the current fiscal remains much
lower than the growth numbers recorded in the corresponding months of the last fiscal.

During the April- July period of 2008-09 growth in the manufacturing and electricity sector
accelerated compared to the growth registered in the previous months of this year. However the
growth performance remains weak when compared to the growth of last fiscal. The increase in
production was witnessed only in the mining sector surpassing the growth posted in the previous
year.

Further following the use-based classification we see growth in intermediate and basic goods in July
2008 was subdued as against the growth in the same month of the previous year. Output in the
capital goods sector however increased by 22% in July this year compared to 12.3% increase in the
same month of previous year. The growth in the consumer goods came mainly from the consumer
durables segment that increased by 11.2% compared to the negative growth posted in the
corresponding month of last year.

In July 2008-09 growth in seven among the seventeen industry sectors namely food products,
beverages and tobacco, paper, metal products, machinery, transport equipments and other
manufactured items exceeded the growths posted in the previous year. While basic metals, non-
metallic minerals and basic chemicals slowed in July 2008-09 compared to the corresponding month
of the previous year, production of 6 industry sectors namely rubber, leather, wood, jute, wool and
cotton was found to drop.

Core infrastructure industries :

Growth in the core infrastructure industries slowed during the four-month period of the present fiscal
as compared to the growth in the previous fiscal. During the April-July period of 2008-09 the overall
infrastructure industries grew at a low 3.7% compared to 6.6% recorded in the previous year. Output
in coal sector accelerated during the period April- July 2008-09 compared to the same period of last
year. On all the other sectors the production growth slowed down compared to growth logged in last
year. There was a strong slippage in the production of crude petroleum during these four months.
2
Inflation Trends :
The average WPI based inflation calculated for the month of August 2008 continues to reign above
12.5%. Inflation rose from an average of 12.2% in July to 12.5% in August this year. In the week
ending 13th September 2008 the WPI based inflation stood at 12.14%. During this time last year the
annual rate of inflation stood at 3.51%.

The sharp difference in the rate of inflation between now and last year has been mainly on account
of a sharp rise in the price index of fuel and some manufactured items. Measures to curb the rising
food articles and other manufactured commodity prices have been put in place, however these only
showed a marginal impact on the rising price index. The fall in fuel prices from its peak USD 147 /
barrel to below USD 100/barrel is yet to be captured in the recent price index.

Monetary Indicators:
Money supply swelled by 5.2% (percentage rise is August end 2008 numbers over March end 2008)
in August 2008 as against 5.1% in the same month of previous year. Borrowings by the government
went up by 7.4% compared to 5.7% in the previous year. Despite rising interest rates bank credit to
the commercial sector rose by 4.2% as against 1.7% recorded previously. The borrowings are high
due to the huge demands in the oil sector. Foreign exchange assets build-up was significant in
August 2008 compared to the growth seen in the previous month of this fiscal, but was found to be
lower when compared to 5.9% rise seen in the previous year.

There has been high accumulation in aggregate deposits during August 2008. Growth in investments
in the government and other approved securities shows a sharp deceleration compared to the
growth seen in the previous year.

Interest rates including the PLR (13-14%) and the deposit rates cycles have peaked and any further
tightening of money supply can hamper industrial growth.

Stock Market Trends:

Number of events of political nature and events in the financial markets impacted the stock markets
adversely. After the major drop in the 30 stock index sensex in July to 13K the market somewhat
recovered in August, rising to 15 K points before dropping to 14.5 K in Sept 2008. The recent
numbers show that the market slid further by another 500 points going below 13 K points due to the
uncertainties in the global and domestic markets.

3
Foreign Trade:
Despite odds (raw material prices, high borrowing rates, losses due to forward contracts) the country
did export goods worth USD 60 billion, posting 24.6% growth during the first four months of 2008-09
as compared to 18.22% in the previous year. The reason ascribed to high exports growth was
increased demand in some of the international markets.

The weakening of Rupee has helped the exporters to recover their (those who have not hedged their
funds) losses made in the past. However, those who opted for a forward cover during the days when
Rupee was maintaining Rs 38-40, failed to insulate themselves from the quick and sharp weakening
of Rupee. The import bill swells due to obvious reasons and widens the trade deficit even further.

Capital Inflows:
In the fourth month of 2008-09 foreign investments continue to pour into the Indian market. The
country received foreign investments of 6 billion in excess of the investments made during the four-
month period of the previous year. Due to weak investor sentiments portfolio investments turned to a
negative USD 4.6 billion, reducing total foreign investments to USD 7.6 billion in July 2008 as
against USD 20.7 billion in same period of previous year.

Foreign Exchange Reserves:

Forex reserves touched USD 315 billion in April 2008 before descending to USD 306 billion in July
and USD 300 billion in August 2008. The downward revision in the reserves could be on account of
FII outflow, large trade deficits and also due to the revaluation between the currencies.

Trends in the Exchange Rates:

Weakening of the domestic currency against the USD benefits the exporters. However, in the
present context, weakening of the Rupee / USD favored a section of exporters that chose not to
hedge funds at the time of strong Rupee – Dollar movement. In September 2008 Rupee was ruling
at Rs 47/ USD weakening by about 20% since January 2008. The present (September) exchange
rate of Rupee / Euro was also found to weaken by about 17-18% over the exchange rate in January
2008.

4
 Contents

Title Page

1 Industrial Growth 7

2 Core Infrastructure Industries 8

3 Trends in Inflation 9

4 Monetary Indicators 10

5 Stock Market Trends 14

6 Fiscal Management 15

7 Foreign Trade 17

8 Capital Inflows 18

9 Foreign Exchange Reserves 19

10 Trends in Exchange Rates 20

5
 LIST OF TABLES

Table-1.1 Growth of industry 7

Table-2.1 Growth in six core infrastructure industries-1 8

Table-2.2 Growth in six core infrastructure industries-2 8

Table-3.1 Monthly trends in Wholesale Price Index: 1-.9 9

Table-3.2 Monthly trends in consumer prices 9

Table-4.1 Monetary indicators 10-13

Table-5.1 Month trends in major stock market indices 14

Table-6.1 Trends in tax collections of central government 15

Table-6.2 Trends in central government finances 16

Table-7.1 Monthly trends in growth of merchandize trade 17

Table-8.1 Monthly trends in foreign investments 18

Table-9.1 Monthly trends in foreign exchange reserves 19

Graph-10.1 Monthly trends in exchange rate of Rupee 20

6
1. Industrial Growth

1.1: Growth Of Industry: Recent Trends (in percentage)

July July
Weights
2007-08 2008-09
Industry 100 8.3 7.1
Mining 10.2 3.2 5.0
Manufacturing 79.4 8.8 7.5
Electricity 10.5 7.5 9.5
Use Based Classification
Basic 35.6 8.7 5.9
Intermediate 26.5 7.7 1.6
Capital 9.3 12.3 21.9
Consumer Goods 28.7 7.1 7.3
Consumer non Durables 23.3 10.5 6.1
Consumer Durables 5.4 -2.7 11.2

16 industry sectors
Food Products 9.1 -4.4 5.7
Beverages, Tobacco and Related Products 2.4 8.8 28.6
Cotton Textiles 5.5 6.3 -4.8
Wool, Silk and man-made fibre textiles 2.3 5.6 -9.2
Jute and other vegetable fibre Textiles (except
cotton) 0.6 16.1 -0.5
Textile Products (including Wearing Apparel) 2.5 4.0 0.0
Wood and Wood Products; Furniture and
Fixtures 2.7 66.7 -9.1
Paper & Paper Products and Printing,
Publishing & Allied Industries 2.6 -5.8 3.6
Leather and Leather & Fur Products 1.1 8.8 -4.9
Basic Chemicals & Chemical Products (except
products of Petroleum & Coal) 14.0 15.8 4.0
Rubber, Plastic, Petroleum and Coal Products 5.7 8.4 -1.9
Non-Metallic Mineral Products 4.4 10.6 3.1
Basic Metal and Alloy Industries 7.5 17.7 9.2
Metal Products and Parts, except Machinery
and Equipment 2.8 -6.2 5.2
Machinery and Equipment other than Transport
equipment 9.6 8.9 16.0
Transport Equipment and Parts 4.0 -2.8 18.7
Other Manufacturing Industries 2.5 3.5 13.9
Source: Central Statistical Organization

2. Core infrastructure industries

7
Table-2.1: Growth in six-core infrastructure industries (% change)

All infrastructure
Finished steel Cement Crude petroleum
industries
2007- 2008- 2007- 2008- 2007- 2008 2007- 2008-
08 09 08 09 08 -09 08 09
April 5.9 3.6 2.7 4.0 5.8 6.9 1.4 0.9
May 7.8 3.5 8.4 5.2 9.9 3.8 -1.6 3.2
June 5.3 3.4 5.6 4.4 6.0 6.5 -0.7 -4.7
July 7.2 4.3 10.8 1.9 9.4 8.8 0.9 -3.0
August 9.0 8.5 16.2 6.4
September 6.0 10.3 5.0 -0.7
October 4.5 4.8 7.0 -0.1
November 5.3 5.8 4.5 0.3
December 4.0 5.1 3.9 -1.5
January 4.2 5.5 5.2 -0.2
February 8.7 8.2 12.4 2.3
March 9.6 21.8 9.3 -0.3
April- July 6.6 3.7 6.8 3.8 7.7 6.5 -0.7 -0.9
Source: Ministry of Industry

Table-2.2: Growth in six-core infrastructure industries (% change)

Petroleum refinery Coal Power

2007-08 2008-09 2007-08 2008-09 2007-08 2008-09
April 15.1 4.3 0.6 10.3 8.7 1.4
May 14.9 0.1 0.5 8.3 9.3 2.0
June 9.8 5.6 0.9 6.2 6.8 2.6
July 4.6 11.8 1.1 5.5 7.5 4.5
August 8.2 8.7 8.8
September 6.9 6.2 4.3
October 2.8 9.2 4.2
November 5.2 7.7 5.8
December 2.0 8.4 3.8
January 5.3 4.8 3.3
February 5.8 11.7 9.6
March 0.0 9.3 3.6
April-July 11.0 5.4 0.8 7.6 8.1 2.6
Source: Ministry of Industry

3. Inflation Trends
8
Table-3.1. Monthly trends in Wholesale price index- monthly average (% change)

2007-08 2008-09
July August July August
All Commodities 4.71 4.14 12.22 12.49
I Primary Article 10.72 9.18 10.56 11.41
(A) Food Articles 9.75 8.52 5.79 6.92
(B) Non-Food Articles 14.13 12.42 16.88 16.95
II Fuel Power Light & Lubricants -1.56 -1.96 17.10 17.23
III Manufactured Products 4.93 4.64 11.01 11.11
(A) Food Products 3.42 3.00 13.96 13.90
(B) Beverages, Tobacco & Tobacco Products 12.62 11.05 8.58 7.76
(C) Textiles 1.35 0.74 6.25 8.16
(D) Wood & Wood Products 7.15 7.15 9.77 9.77
(E) Paper & Paper Products 2.52 2.04 3.31 3.01
(F) Leather & Leather Products 7.18 7.21 0.66 0.63
(G) Rubber & Plastic Products 6.43 6.44 6.52 6.56
(H) Chemicals & Chemical Products 3.95 4.94 10.02 9.74
(I) Non-Metallic Mineral Products 8.56 9.31 4.40 4.20
(J) Basic Metals Alloys & Metals Products 6.38 5.11 22.67 23.01
(K) Machinery & Machine Tools 8.85 8.49 5.96 5.60
(L) Transport Equipment & Parts 2.02 1.18 5.83 5.65
Source: RBI

Table-3.2: Monthly trends in consumer prices (% change)

CPI-IW CPI-UNME CPI-AL CPI-RL

2007-08 2008-09 2007-08 2008-09 2007-08 2008-09 2007-08 2008-09
April 6.7 7.8 7.7 9.4 8.9 9.1 8.6
May 6.6 7.8 6.8 8.2 9.1 7.9 8.8
June 5.7 6.1 7.4 7.5
July 6.5 6.9 8.6 8.0
August 7.3 6.4 8.8 8.5
September 6.4 5.7 7.9 7.6
October 5.5 5.5 7.0 6.7
November 5.5 5.1 6.2 5.9
December 5.5 5.1 5.9 5.6
January 5.5 5.1 5.6 5.9
February 5.5 6.0 6.4 6.1
March 7.9 - 7.9 7.6
Source: Ministry of Labor, Center for Monitoring Indian Economy

4. Monetary Indicators:
9
Table-4.1: Monetary sector indicators – up to August ( August 2008-09 over March 2007-08)

Variation in M3 (Rs crore) Variation in M3 (%)

2007-08 2008-09 2007-08 2008-09
April 549 18342 - 0.5
May 13565 75113 0.4 1.9
June 73824 84387 2.2 2.1
July 141021 140700 4.3 3.5
August 168534 208571 5.1 5.2
September 264149 8.0
October 297906 9.0
November 365815 11.1
December 392516 11.9
January 546563 16.5
February 555364 16.8
March 682794 20.6
Variation in net bank credit to Variation in net bank credit
government (Rs crore) to government (%)
2007-08 2008-09 2007-08 2008-09
April 30617 -7763 3.7 -0.9
May 24085 14613 2.9 1.6
June 28117 32597 3.4 3.6
July 80964 69352 9.7 7.6
August 47656 66866 5.7 7.4
September 34501 4.1
October 14584 1.7
November 25060 3.0
December 2688 0.3
January 24888 3.0
February 17399 2.1
March 9350 1.1
Variation in bank credit to Variation in bank credit to
commercial sector (Rs crore) commercial sector (%)

2007-08 2008-09 2007-08 2008-09

April -40585 -18293 -1.9 -0.7
May -46798 18626 -2.2 0.7
June -30547 42252 -1.4 1.6
July -12151 57878 -0.6 2.3
August 37019 106693 1.7 4.2
September 108519 5.1
October 108937 5.1
November 160039 7.5
December 207488 9.8
January 292883 13.8
February 341060 16.1
March 432664 20.3

10
 Variation in net foreign exchange Variation in net foreign
assets of banks (Rs crore) exchange assets of banks
(%)
2007-08 2008-09 2007-08 2008-09
April -28024 18732 -3.0 1.5
May -35519 113765 -3.9 9.0
June -17945 103932 2.0 8.0
July 12534 75552 1.4 5.8
August 54117 54821 5.9 4.2
September 101485 11.1
October 153944 16.9
November 194112 21.3
December 194985 21.4
January 267735 29.3
February 318273 34.9
March 354704 38.8
Variation in non-monetary liabilities Variation in non-monetary
of banks (Rs crore) liabilities of banks (%)
2007-08 2008-09 2007-08 2008-09
April -38474 -25665 -6.7 -3.5
May -71601 71891 -12.9 9.7
June -94033 94555 -16.5 12.2
July -59345 62244 -10.4 8.0
August -29287 19970 -5.1 2.6
September -19238 3.4
October -20033 -3.5
November 13804 2.4
December 13208 2.3
January 39506 6.9
February 121932 21.3
March 114893 20.1

Variation of aggregate deposits of Variation in aggregate

SCB (Rs crore) deposits of SCB (%)

2007-08 2008-09 2007-08 2008-09

April 5857 51 0.2 -
May 31436 56760 1.2 1.8
June 54791 52837 2.1 1.7
July 162203 115943 6.2 3.6
August 164956 194522 6.3 6.1
September 255988 9.8
October 269646 10.3
November 315998 12.1
December 344338 13.2
January 481231 18.4
February 472550 18.1
11
March 580208 22.2
Variation in investments of SCB (Rs Variation in investments of
crore) SCB (%)
2007-08 2008-09 2007-08 2008-09
April 15950 41554 2.0 4.3
May 26938 34147 3.4 3.5
June 49683 36233 6.3 3.7
July 80461 20135 10.2 2.1
August 112277 46723 14.2 4.8
September 117515 14.9
October 158860 20.1
November 174105 22.0
December 133106 16.8
January 160158 20.3
February 196420 24.8
March 181222 22.9

Variation in total credit of SCB (Rs Variation in total credit of

crore) SCB (%)
2007-08 2007-08
April 43352 -19427 -2.2 -0.8
May -40435 10455 -2.1 0.4
June -36348 30534 -1.9 1.3
July -16675 44520 -0.9 1.9
August 31120 96420 1.6 4.1
September 96486 5.0
October 96966 5.0
November 162149 8.4
December 219180 11.4
January 278399 14.4
February 322300 16.7
March 417304 21.6
Variation in food credit of
SCB (Rs crore)

2007-08 2008-09
April 3366 -3375
May -3079 3980
June -2564 5748
July -5462 -508
August -8031 -56
September -9512
October -10654
November -8823
December -5509
January -5329
February -2209
March -2121

12
 Variation in non-food credit of SCB
(Rs crore)
2007-08 2008-09
April -46718 -16052
May -37356 6474
June -33784 24786
July -11213 45029
August 39151 96476
September 105998
October 107620
November 154803
December 224689
January 283728
February 324509
March 419426
Source: Reserve Bank of India

13
5. Stock Market Trends

Table-5.1: Monthly trends in stock market indices (beginning of month figures)

Date BSE Sensex % Change S&P CNX NIFTY % Change
1.1.05 6679 7.2 2115 7.8
1.2.05 6552 -1.9 2058 -2.7
1.3.05 6651 1.5 2084 1.3
1.4.05 6605 -0.7 2068 -0.8
1.5.05 6195 -6.2 1917 -7.3
1.6.05 6730 8.6 2088 8.9
1.7.05 7210 7.1 2211 5.9
1.8.05 7669 6.4 2318 4.8
1.9.05 7876 2.7 2406 3.8
1.10.05 8492 7.8 2574 6.9
1.11.05 7944 -6.5 2387 -7.3
1.12.05 8944 12.5 2699 4.8
2.01.06 9390 5.0 2835 5.0
1.02.06 9859 5.0 2971 4.8
1.03.06 10566 7.7 3123 5.1
3.04.06 11564 9.4 3473 11.2
1.05.06 12128 4.9 3605 3.8
1.06.06 10071 -17.0 2962 -17.8
3.07.06 10695 6.1 3150 6.3
1.08.06 10751 0.5 3147 -0.1
1.09.06 11778 9.5 3435 9.1
3.10.06 12366 5.0 3569 3.9
1.11.06 13033 5.4 3767 5.5
1.12.06 13844 6.2 3997 6.1
2.01.07 13942 0.7 4007 0.3
1.02.07 14267 2.3 4137 3.2
1.03.07 13159 -7.7 3811 -7.8
2.04.07 12455 -5.3 3633 -4.7
3.05.07 14078 13.0 4150 14.2
1.06.07 14570 3.5 4297 3.5
2.07.07 14664 0.6 4313 0.4
1.08.07 14935 1.8 4345 0.7
3.09.07 15422 3.2 4474 2.9
1.10.07 17328 12.3 5068 13.2
1.11.07 19724 15.7 5866 13.8
1.12.07 19363 -1.8 5762 -1.8
1.01.08 20300 4.8 6144 6.6
1.02.08 18242 -10.1 5317 -13.5
3.03.08 16677 -8.5 4953 -6.8
1.04.08 15626 -6.3 4739 -4.3
2.05.08 17600 12.6 5228 10.3
2.06.08 16063 -8.7 4739 -9.3
1.07.08 12961 -19.3 3896 -17.8
1.08.08 14656 13.1 4413 13.3
1.09.08 14498 -1.1 4447 0.8
Source: Reserve Bank of India

14
6. Fiscal Management

Table-6.1: Trends in cumulative tax collections of central government (%)

Gross tax revenue Corporation tax Income tax

2007-08 2007-08 2007-08
April 5.4 52.2 -36.2 55.0 -4.1 127.7
May 35.0 36.1 231.8 58.1 22.1 76.0
June 28.1 28.4 48.2 43.4 25.6 50.0
July 25.7 26.2 49.3 41.6 32.4 42.0
August 24.1 46.1 34.4
September 24.5 38.6 35.3
October 25.8 43.0 34.5
November 25.2 41.7 37.8
December 27.0 37.1 42.7
January 26.1 36.6 42.2
February 26.7 37.1 42.4
March 24.8 31.3 40.7
Customs Excise duties Other taxes
2007-08 2007-08 2007-08
April 30.1 25.0 29.6 -28.3 29.6 62.3
May 23.1 24.1 13.5 1.3 37.1 40.7
June 19.8 19.9 11.3 -0.9 43.5 26.0
July 19.6 19.2 6.3 4.0 32.1 24.7
August 18.6 4.9 33.9
September 15.8 3.4 40.2
October 18.2 3.8 37.4
November 16.6 4.3 37.0
December 16.9 5.1 44.3
January 18.0 4.8 39.9
February 19.1 6.0 41.0
March 19.1 4.8 38.9
Source: Controller General of Accounts

Table-6.2 Trends in central government finances: June

Actual to budget estimates

( in Rs crores) Growth (%) YoY
2007-08 2008-09 2007-08 2008-09
Revenue receipts 95291 117869 23.2 23.7
Tax revenue 79911 101263 25.6 26.7
Non tax revenue 15380 16606 12.3 8.0
Non debt capital 3364 871 43.7 -74.1

15
receipts
Recovery of loans 997 854 -57.4 -14.3
Total receipts 98655 118740 23.8 20.4
Non plan expenditure 168244 158688 40.1 -5.7
On revenue account 128094 153414 11.3 19.8
On capital account 40150 5274 693.2 -86.9
Plan expenditure 59819 76032 30.1 27.1
On revenue account 49597 64668 22.5 30.4
On capital account 10222 11364 86.8 11.2
Total expenditure 228063 234720 37.3 2.9
Fiscal deficit 129408 115980 49.8 -10.4
Revenue deficit 82400 100213 5.4 21.6
Primary deficit 80472 63979 74.1 -20.5
Source: Controller General of Accounts

16
7. Foreign Trade

Table-7.1: Monthly trends in growth of merchandize trade (% change) up to July

Exports Oil imports Non-oil imports Total imports

2007- 2008- 2007- 2008- 2007- 2008- 2007- 2008-
08 09 08 09 08 09 08 09
April 23.0 31.5 11.4 46.2 54.2 32.3 40.6 36.6
May 18.0 12.9 2.9 50.8 41.5 17.4 26.3 27.1
June 14.0 23.5 9.8 53.4 52.2 13.9 36.6 25.9
July 18.5 31.2 8.7 69.3 25.8 38.7 20.4 48.1
August 18.9 19.5 39.5 32.6
September 19.2 7.9 0.1 2.3
October 35.6 14.5 28.8 24.2
November 26.8 16.7 35.3 29.2
December 16.0 23.7 15.3 18.0
January 20.4 60.8 65.0 63.5
February 35.2 39.5 26.3 30.5
March 26.5 76.6 18.7 35.2
April-July 18.2 24.6 5.3 54.9 43.7 25.2 30.6 34.2
Source: Ministry of Commerce

17
8. Capital Inflows

Table-8.1: Monthly trends in foreign investments ($ million)

Foreign direct Portfolio investments Total foreign investments

investments
2007-08 2008-09 2007-08 2008-09 2007-08 2008-09
April 1551 3749 1974 -880 3525 2869
May 2120 3932 1852 -288 3972 3644
June 1238 2392 3571 -3010 4809 -618
July 705 2247 6713 -492 7418 1775
August 831 -2747 -1916
September 713 7081 7794
October 2027 9564 117591
November 1864 -107 1757
December 1558 5294 6852
January 1767 6739 8506
February 5670 -8904 -3234
March 4438 -1600 2838
April-July 6609 12320 14110 -4670 20719 7650
Source: Reserve Bank of India

18
9. Foreign Exchange Reserves

Table-9.1: Monthly trends in foreign exchange reserves ($ billion)

2005- % 2006- % 2007- % 2008- %

06 Change 07 Change 08 Change 09 Change
April 141.8 0.3 160.6 5.9 204.1 2.5 314.5 1.5
May 138.9 -2.9 164.5 2.4 208.3 2.0 312.5 -0.6
June 138.4 -0.5 162.9 -0.9 213.4 2.4 312.0 -0.1
July 140.5 2.1 164.0 0.6 229.3 7.4 306.1 -1.8
August 143.8 3.3 166.4 1.4 228.8 -0.2
September 143.0 -0.6 165.3 -0.6 247.7 8.2
October 143.7 0.5 167.1 1.1 262.4 5.9
November 142.1 -1.1 175.5 5.0 273.5 4.2
December 137.2 -3.4 177.2 1.0 275.9 0.8
January 139.5 1.7 180.0 1.6 288.3 4.4
February 143.1 2.5 194.6 8.1 301.2 4.4
March 151.6 5.9 199.1 2.3 309.7 2.8
Source: Reserve Bank of India

19
10. Trends in the Exchange Rates

Graph 10.1: Exchange rate of Rupee (per unit of other currencies).

48 80
46
60

Re/Euro
Re/USD

44
42
40
40
38 2006- 2007-08 2008-09 20
36
34 0
May

May

May
Nov

Nov
Apr

Jun

Aug
Sep

Jan

Apr

Jun

Aug
Sep

Jan

Apr

Jun

Aug
Sep
Jul

Jul

Jul
Oct

Oct
Dec

Dec
Mar

Mar
Feb

Feb
USD Euro

20