FINDINGS

 Indian Rupee is that rupee which is currently not an International currency.

 Indian trade is also invoiced in dollar.
 Not a reserve currency for official reserves of central banks.
 Not a preferable currency for international debt market.
 It is not currently dominating economy as GDP and trade.
 As its is also not fully convertible at current time, there is less chance of becoming Indian rupee as
international currency.

RECOMMENDATION
 Government should try to control the inflation.
 Government should control current account and fiscal deficit.
 Government has to increase GDP growth rare and India’s share in trade by focusing more on trade of
services.
CONCLUSIONS

 After the analysis it is clear thar Indian rupee is not an international currency currently.
 It is not an invoicing currency even for Indian trade.
 Rupee is not used as reserve currency for central banks reserve.
 Due to high volatility of Indian rupee non-resident has less confidence in rupee, which is essential for an
international currency.
 The reason behind rupee volatility is because of high inflation, current account deficit and fiscal deficit.
 Positive point is that India’s financial and money market is developing.
 It will be interesting to see whether India make its trading partner agree for local currency trade.